HIO

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2.1¢ hawsons iron ltd

Ann: LDA Clarification Notice, page-34

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Wilbury

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20/07/22

20:27

Post #: 62638576
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Originally posted by That Fundamental Guy: ↑

@Wilbury - My understanding is similar, but not the same.

HIO can call on put options for up to $200M. When they make a call on the put option, they specify the number of shares to be issued and the minimum price (as previously posted, I believe this would have been 40 cents for this call). The number of shares called on was 25 million. Whilst LDA could have accepted 50% to 200%, they have accepted 25 million (demonstrated by the number of shares recently issued). HIO is restricted on the number of shares it can call on via the put options by 10 times the average daily trading. This is for the period prior to the exercise of the put option by HIO but is only restricts the number of shares to be issued pursuant to the call on the put option and has nothing to do with the exercise price of the put option.

The exercise price of the put option, i.e., the amount that HIO will receive per share, will be determined as the greater of the minimum price (assumed to be 40 cents) and 90% of the VWAP for the 30 days following the call on the put option.

Therefore, it is in HIO's interest to keep the share price up as they will receive more per share for the 25 million shares issued. That is why many of us are expecting good announcements shortly.

LDA may wish to keep the share price low so the have to pay HIO less per share. Therefore, they may choose to sell some shares (if they are allowed to) to keep the price down. However, if they sell too many now and then the price and volume jumps after an announcement, they could get caught out. I assume that LDA has a numbers guy (or girl) that is doing the math so they don't sell too many too soon. We are likely to find out what they have been selling Monday as I expect HIO will provide an updated Top 20.

Hope that helps you with my understanding and any differences between us.

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ahh actually that makes sense, thanks. next couple weeks should be interesting to see what the announcements hold and how this works out over the next month or so.
cheers!

HIO Price at posting: 43.0¢ Sentiment: Buy Disclosure: Held
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Last 2.1¢		Change 0.000(0.00%)		Mkt cap ! $21.34M

Open	High	Low	Value	Volume
2.0¢	2.1¢	2.0¢	$5.623K	273.9K

Buyers (Bids)

No.	Vol.	Price($)
11	1525175	2.0¢

Sellers (Offers)

Price($)	Vol.	No.
2.2¢	164745	4

View Market Depth

No.	Vol.	Price($)
11	1525175	0.020
8	1828469	0.019
3	3222276	0.018
3	3075057	0.017
3	416800	0.016

Price($)	Vol.	No.
0.022	164745	4
0.023	278352	4
0.024	539830	4
0.025	180761	5
0.026	250000	2

Last trade - 14.44pm 13/09/2024 (20 minute delay)

HIO (ASX) Chart

Ann: LDA Clarification Notice, page-34

Enova Mining unveils "high-grade" REE drill hits at Coda North, Brazil

Olam Agri raises Namoi takeover offer to 75 cents a share and receives shareholder backing

Metals Australia kicking off plant study at Lac Carheil; Canadian tariff tailwind potential

Week 37 Wrap: HotCopper likes Cuban oil; markets shrug debate off for Putin; firebrand quant says social media a market threat

Medallion Metals kicking off 15,000m drill run at Ravensthorpe gold play

Mako sniffs gold at 170 g/t at Cote d’Ivoire's Napié play

Dale Gillham's weekly wrap: US fracking support boosts outlook for Australian gas stocks

Vulcan appoints investment bank and M&A veteran to board

Utah authorities sign off on Anson's lithium extraction plans at Green River

Antipa divests its Citadel interest to JV partner Rio for A$17M, refocuses on Minyari Dome

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Ann: LDA Clarification Notice, page-34

Top Stories

Enova Mining unveils "high-grade" REE drill hits at Coda North, Brazil

Olam Agri raises Namoi takeover offer to 75 cents a share and receives shareholder backing

Metals Australia kicking off plant study at Lac Carheil; Canadian tariff tailwind potential

Week 37 Wrap: HotCopper likes Cuban oil; markets shrug debate off for Putin; firebrand quant says social media a market threat

Medallion Metals kicking off 15,000m drill run at Ravensthorpe gold play

Mako sniffs gold at 170 g/t at Cote d’Ivoire's Napié play

Dale Gillham's weekly wrap: US fracking support boosts outlook for Australian gas stocks

Vulcan appoints investment bank and M&A veteran to board

Utah authorities sign off on Anson's lithium extraction plans at Green River

Antipa divests its Citadel interest to JV partner Rio for A$17M, refocuses on Minyari Dome

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News