Australia's largest stock trading and investment forum Australia's #1 stock forum

OSH

0.00%

$4.04 oil search limited

Ann: Trading Halt, page-18

First 18 Last

Share
Profile

Follow
rollacoaster

5,719 Posts.

1600

06/04/20

12:17

Post #: 43902658
Share

Originally posted by Travely ↑

We are seeing the effects on companies with high debt in their balance sheets, particularly in the current climate with oil.
The virus is causing a demand shock, causing significant decline in prices and profitability for OSH.
Capital is also much harder to raise as investment houses are skeptical of volatile oil prices.

In this company's situation, they are desperate for the cash, just like the airlines, because further ongoing conditions from virus will make it more difficult to raise capital later down the track. Webjet (ASX:WEB) just raised capital at more than 50% discount ($1.70 when their SP at the time was $3.70).

Wouldn't be surprised to see a capital raise for OSH of $500m@ 120c.
Would hope that holders are at least allowed to participate as well.

It is not a downramp but just facts on the current climate.
Happy if proven wrong by the company.
Would be a true test to the management to see how they can raise capital in such an environment.
At least they have given time to await the Thursday oil price meeting.

Expand

OSH are expecting to trade on the ASX again tomorrow morning per their announcement therefore I expect the raise to be outlined tonight or early tomorrow morning.

An underwritten rights issue would be easy to get done in that timeframe

OSH Price at posting: $2.73 Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

As Nvidia cools, we're looking to Aussie AI

PRU

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

LAM

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

RMX

Red Mountain Mining: record gold prices, two projects, two greenstone belts

BIT

HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

OCC

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

Week 36 Wrap: AI hype wave tested again; Oz per capita recession continues; AirTrunk’s $40B+ payday

SBW

Shekel Brainweigh investor presentation webinar – the future of retail automation

QML

Metallurgical testing shows saleable copper and pyrite from QMines' Develin Creek project

CBA breaks trading record on strong day for Aussie financials

There are more pages in this discussion • 46 more messages in this thread...

First 18 Last

Add OSH (ASX) to my watchlist

Ann: Trading Halt, page-18

Top Stories

As Nvidia cools, we're looking to Aussie AI

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

Red Mountain Mining: record gold prices, two projects, two greenstone belts

HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

Week 36 Wrap: AI hype wave tested again; Oz per capita recession continues; AirTrunk’s $40B+ payday

Shekel Brainweigh investor presentation webinar – the future of retail automation

Metallurgical testing shows saleable copper and pyrite from QMines' Develin Creek project

CBA breaks trading record on strong day for Aussie financials

Featured News