BSAO - Options exp 30-Apr-2025 ex 80c

Saw some posts about options under the quarterly and thought it should have its own thread.
You can read more about company options at https://rosser.com.au/option_notes.htm

BSA share price is well above 80c so it's likely that most of the options will get exercised.
As at 31-Jan, there were roughly 15M BSAO and 75M BSA shares on issue.
Despite a few folks exercising early, the big rush will come either in April, just before expiry. Could be sooner if there is a dividend announced, since option holders don't get dividends.

For all you aspiring analysts out there, BSA will receive $12M for option expiry and the SOI will increase to ~90M shares. If there are 15M more shares and only $12M more on the balance sheet, that means each share is worth a bit less. If you do the calculation, it would be about 4c less, but that may already be factored in. If you are using a metric like EV/EBITDA, you'd subtract the $12M (and any other cash) from the MC to get the EV anyway.

Given that BSA don't need the cash (they had $2M at Dec-31 and will likely make ~$5M from operations by the end of April), they could pay it all out as franked dividends. (I think. I'm not a tax expert). The franking credits would more than make up for the dilution. At the end of FY24 there were $11.4M franking credits available. Plenty. Alternatively, they could invest some cash in growing the business AND set a payout ratio of 100% of NPAT. Thoughts?