The danger with raising to 'sophisticated' investors through a broker, particularly when the CR is at a discount to where the SP closed, is there is always a proportion of the sophisticated who will sell out if they don't see immediate gains. Some of them were not already long AOU and just took the offering because of the opportunity. Broker doesn't care (Morgans), they get the raising fee and 0.75% brokerage when they sell out. Some will take the money and run, and the CR price becomes a magnet. I am a holder of AOU and a believer, but I think you may see 17c crushed and offered soon. 16c will be seen and maybe even 15.0/15.50, which will give all the retailers who missed out on the CR a chance to buy at better levels. The 8 million raised gives AOU the capital needed to see many of their projects through, so thats the positive. Not down ramping, just seen this time and time again. DYOR & GLTAH
AOU Price at posting:
17.0¢ Sentiment: Buy Disclosure: Held
