Ann: Share Purchase Plan to accelerate work programs, page-189

For
1. As you rightly said, company gets the money they need - it may not just be for growth, it may be for survival, so that’s a good reason perhaps to forego a couple of percent, should the price drop under the SPP price.

2. No purchase fees with SPP!

3. Check the terms of the SPP document for what happens if the price drops below the SPP price. Often there is a discount to the average over ‘x’ days closing price.

Against:

1. You may not get the amount of shares you want at the price you want (although if oversubscribed that will apply to the SPP too).

2. SPP ties up capital and ability to trade those shares, albeit for only a few days (check brochure).

3. The cheaper the price (lower than SPP price), the more return on your investment you may be giving up, obviously. so it’s costing you to let the company benefit from your money.

Unfortunately if the markets are volatile or the company overcooks the SPP price, it’s a big ask to expect investors to donate money, even taking point 1. into account.

Being a newer investor, I wouldn’t mind another opportunity for a CR, since I would likely take part, if the price is right.

Good luck with your decision!
Rob
DYOR - I did mine