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27.0¢ synlait milk limited

Agree, but Synlait has been in a death spiral for some time.

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StrongForm

10 Posts.

19/06/24

14:09

Post #: 74390936
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Originally posted by werdplaya58: ↑

Market cap has now dropped to $43M on the ASX / $61M on the NZX

How do they even execute an equity raise at this point. Let's say they raise $60M at 28c (generously assuming that is where the SP is by the time they announce it)

Current market cap is $61M (~218.5M shares x 0.28 per share).

They would need to issue 300M new shares which are added to the 220M that currently exist.

New SP would be ~12c per share.

But the issue worsens as the current selling deteriorates further. The further the price drops, the more shares they would need to issue in order to raise a meaningful amount of capital, and the worse the resulting dilution gets. It's a death spiral at this point for anyone other than the two major holders, A2M and Bright.

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Agree, but Synlait has been in a death spiral for some time.

SM1 Price at posting: 25.5¢ Sentiment: Sell Disclosure: Not Held
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(20min delay)
Last 27.0¢		Change -0.010(3.57%)		Mkt cap ! $59.01M

Open	High	Low	Value	Volume
27.0¢	27.0¢	25.0¢	$38.17K	146.1K

Buyers (Bids)

No.	Vol.	Price($)
2	11959	25.5¢

Sellers (Offers)

Price($)	Vol.	No.
27.0¢	4053	2

View Market Depth

No.	Vol.	Price($)
1	3000	0.255
3	35922	0.250
1	4166	0.240
4	28752	0.230
1	46516	0.215

Price($)	Vol.	No.
0.270	4053	2
0.280	2588	1
0.295	2100	1
0.300	1894	2
0.320	7500	1

Last trade - 16.10pm 19/06/2024 (20 minute delay)

SM1 (ASX) Chart

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