capital raising, page-4

Hi Janvier,

I like your thinking but no, its not the real story.

Read the announcement made just before the Capital raising,I will add a snippet of this announcement.

"The shares were sold at a price of $0.57, which is in line with the volume weighted
average price of Bionomics shares since the BNC210 results were released at the
end of March. Following the sale, Start-up Australia is no longer Bionomics' largest
shareholder, with a remaining holding of 8.9%. We are pleased to see that
Bionomics? share register will be strengthened with the introduction of major
Australian and international investors. We intend to continue to work with Bionomics
and Southern Cross Equities to ensure any future liquidity events for our shares take
place in an orderly manner"


So you can see, that the share overhang from Start-up Australia went to large oversees and Australian investors.

BNO could not buy their own shares unless they would have made an announcement on the ASX.

But raising a bit more Cash now, on the current strenght of the shareprice is not a bad thing to do.

It gives them more time to get a good partner, and they will have not the added stress of running out of working capital.

But lets wait and see what the deal of the raising is, and how much, and who is getting new shares.

And at what price ofcourse, you would think 57 ct would be the base price for any new capital raising, but personally I would like to see them raising more above the 60 cts level.

good luck

jojo