"IPO raise capital by the issuance of new shares. RTO don't. "
No thats just plain wrong, if you are going to post on the topic best to have the facts startight
An IPO is an Initial Public offering which has alot of ASX requirements such as minimum issue price being 20c, a minimum amount of capital I think $5m from the top of my head as well as a minimum spread of shareholders etc
An RTO is essentially the same but you're using an existing listed shell and the ASX requirements are alot more relaxed with the minimum price level now being 2c and the minimum capital level being $3m, also you usually already meet the minimum shareholder spread requirements
Its not as clean as an IPO but can be alot quicker and eaiser to get something listed as it can allow for staged funding eg CMY already has $1.5m so to meet the minimum requirement they would only need to raise $1.5m and perhaps raise $2m later at a higher valuation which is alot easier than having to raise $5m in a single whack
With the pedigree of the RFN boys on here Im happy to wait and see what they bring to the table
CMY Price at posting:
1.6¢ Sentiment: None Disclosure: Held
