"The SP price has been driven low by COVID-19 share route. There has been no real recovery in BLG SP like other stocks because of the outstanding rights issue."
I think you're being a bit generous there, awg.
IMO, the Blg share price is where it is due to all holders knowing there is little to no income and no substantial reduction or management of the cash burn issue. Everyone has known that Blg would have to go 'cup in hand' in some form for some time.
My suspicion is the cash burn for this last quarter has been far more than was anticipated, at least by shareholders, and they were literally forced to take the RI option.
This months quarterly report should be fascinating reading in that regard.
Maybe COVID-19 trigger a few margin calls generating a few sales, but i'd like to think that most Blg holders are/were savy enough to see this for what it is - an urgent call, and need, for a cash injection - and respond accordingly.
Yes, the RI was poorly timed to coincide with COVID-19, and, as at the time of typing this morning, it has not been extended. This just reaffirms to me that they desperately want this RI done BEFORE having to release the quarterly, where the true position of the urgency will be revealed..
GLTAH.
BLG Price at posting:
2.4¢ Sentiment: None Disclosure: Held
