Ann: Neurotech Completes $9.0M Placement, page-20

The timing isn’t the issue, the deal was a let down and a kick in the teeth to existing shareholders, particularly retail who couldn’t participate... As I have posted previously, it was always going to struggle to hold the placement price in this market anyway and it would always ignore us retail investors.. The company has done well all things considering, they managed to muster up a run in the sp to 13c and raise at 10c when they were at about 8c not long ago and at real risk of raising at 5-6c…

But they royally stuffed it with the free options to the instos…and make it worse they are going to be listed… I expect this to get worse tomorrow and Monday before it gets better as the instos haven’t even received their stock yet. Theoretically, instos could have started selling yesterday (2 days prior to the allotment) but that’s risky, sell day before allotment is okay, you receive stock tomorrow and it settles on Monday… hence the volume today…

and to prompt the why are they selling at a loss an.. they aren’t because of the options… buy 2 shares for 20c get one free option… at an 8c share price it’s worth 3-5c… so sell two shares for 8c each ( get back 16c form the 20c so lose 4c) but you still have a 4c option… this is breakeven…

I am not topping up yet, I think not much news flow short term ( or they would have waited for it before raising) . The raise on the result of the 20week trial is an admission by the company that despite having cash though to early next year, this was as good as it was getting.