Before the term sheet is set, they ring around a trusted group of investors for pre-commitments. That process involves negotiation (eg. How much at what price etc.). It’s how the lead broker shores up confidence in what they are going to sell. The payoff for the trusted group is that they are given a guarantee of the amount of shares rec’d, whereas the rest of the placement group is subject to scaling.
GLN Price at posting:
12.0¢ Sentiment: Buy Disclosure: Held
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