Ann: Private Placement raises $3.9m, page-52

“Funds raised from the Placement (a[er costs) will principally be used fund first loss capital relating to funds drawn from its debt warehouse facility, product development and general working capital requirements.”

Looks like the bulk of the funds are going to satisfy their funding obligations of first loss capital already drawn. Will be interesting to read the auditors comments around the DW in the annual return and obviously the increased risks in the current environment.

Looks like their lender is not as comfortable and hence why the capital raising was done quite quickly. Remember we had many investors here prior telling us there was not going to be any capital raising and we’re so confident of that the options even traded at .04c

Little by little the increased risks of Spenda are starting to show up.

Wonder how many other more reputable firms were approached for the cap raising but had indicated a price at below .09c and Spenda just went with the ones that caused the least dilution irrespective of any negative news attached to its owners over the past.