is m&g the seller ?, page-27

Irrespective of M&G being in the market buying the selling pressure has been strong enough to surpress price after 2 very big pieces of news. What is causing this is what we should be asking ourselves

As a general rule a book build will generally mean a broker has a buy:sell ratio of approx 4:1 to avoid pressing market too hard. Algorithmic trading are now used as part of a book build and if it transpires that the above ratio is being breach then I think ASX/ASIC would need to have a meeting with M&G's broker(s). However, if I was allowed to wager a few bob on it I think it's more likely to be the nominee accounts churning their positions post placement to our new cornerstone investor. The basis of this deduction is that LT holders are mostly set and in reality will have limited impact from this point on daily volumes. Inexperienced traders will have had a slight impact buying the news but now likely to have already sold on a tight stop.

Conclusion, our register is still unbalanced irrespective of M&G and Oceanwide. Azure or the company itself need to work on the aftermarket before we see the share price move to fairvalue. They could start being more agreeable to potentially new investor queries and cast the net with a roadshow or 2. I would still expect a decent bounce towards $4 over the next few week if general market conditions stablise. However, IMO this is not fairvalue by a long short.