Ann: USA Institutional Share Placement, page-69

I disagree, stag.
NON-renounceable means you have no opportunity to sell your rights (entitlements) to the options you're now paying .001 for the number you want to take up.
MIning Companies these days tend to make all their new share issues NON-Renouncable, compared to now many? years ago
since I've seen a Company make a REnouncable Share issue.

e.g. lets say you hold 1000 shares in Company X, who’s current SP is $1.10.

It decides to make a REnounceable new issue of shares in a 1 for 10 ratio @ 99c.

If you take up your 100 shares entitlement you now hold 1100 at a theo value of $1199 ($1100 value for your existing shares + $99 for the new ones) = $1.09 theo value / share. .

If you don’t take up your entitlement you’re left with only your existing 1000 shares - but at the new theo value of $1.09 = $1090, i.e. you are worse off by $10, in value, of your unchanged shareholding.

So those 100 Rights will have that $10 theo value, which you sell for – on the ASX - i.e. @ 10c a Right, The buyer of those Rights then exercises them by paying the Company its 99c per new share, which alternatively you would have done had you taken them up, & not sold those Rights.

The new shares issued are eventually listed on the ASX

and become tradeable ashort time after the Issue has closed, and the shares allotted,

just like today’s very common NON-REnouncable share Issues,

particularly by small-cap miners every time they run out of money.

Maybe this sort of RightsIssue doesn’t happen anymore ‘cos the paperwork for the Share Registries becomes an unviable and cost-ineffective nightmare for the Company, making such a new Issue,even with today’s whizz-bang computer technology.

Apols if all my guff is as clear as mud – you can tell I’ve been a sharemarket tragic for decades, eh?