Stone the crows!I was wrong in asserting that the share issue...

Stone the crows!

I was wrong in asserting that the share issue would have a shortfall.

Even though the SPP advertised at A$2 million was for a very small amount, the oversubscriptions mean that those who applied sought a median of $11877.65 in new shares.

As long as the additional $2.466 million is wisely used and not frittered away, it's a good decision to accept the additional applications.

On 20 August 2020 (the latest publicly available), PTL only had 1789 shareholders so the takeup percentage of 21.01 per cent (376 holders) is very good. Some companies that offer SPPs find that fewer than 15 per cent of holders apply.

It'll be interesting to see if PTL Directors individually took up the A$30000 maximum permitted SPP amount, as well as (in time) whether HwB key personnel take more in shares as per the earn-out provisions in the acquisition.

'Mr Market' won't change his extremely grumpy mood initiated yesterday so while PTL often has extremely low volume traded (and sometimes none), it'll be interesting to see if the SP slips below the issue price of A$0.38. Hopefully this is only temporary, but HwB faces a headwind at present with well publicised delivery delays affecting many companies that sell B2C online.

As a small side issue, PTL needs to change its logos at the bottom of its letterhead to include HwB.