@krusty900 - morning!!
You have mentioned a few times that you really wished HTG management had just raised the whole approximately $11m in funds straight from institutions / sophisticated investors etc - so in your opinion this CR has been done in a way that was not in the best interests of all HTG holders.
My view is completely opposite to this.
HTG Management might be seen to have displayed poor timing with this CR (especially if there is really good news just around the corner like I suspect) - hence the CR price was set at just 21 cents per share.
However, through the approximately $8m Retail Entitlement Offer they have given every retail holder a chance to participate in this capital raising at the same low price of 21 cents - on the basis of each retail holder being eligible to purchase another 1 share for every 10 HTG shares they currently hold.
This "retail entitlement offer" is a much fairer way for retail holders to avoid dilution at the hands of the "big boys" in this CR.
If you stump up your funds at 21 cents, the dilutional effect is significantly less on you.
If HTG management had decided to raise $11m through just an institutional / sophisticated investor raise, it certainly would have been a much quicker raise - but the screams from existing shareholders "about only looking after the big end of town" would have been deafening IMO
Even though it is a much more drawn out process, I am thankful we (retail investors) have been given the opportunity to participate in the HTG capital raise
With a current undiluted market cap of around $100m, and "knowing what we know" in terms of their products & business model & integrations with a number of large companies, I think HTG is now way too cheap - so I will certainly be participating in this CR.
Everyone has very different circumstances though, so please do your own research on this!!
