Mathematics

Hi Guys and Girls,

I need a bit of help with my maths.

The Security Purchase Plan says that there will be $10M worth of shares up for grabs (1.5M).

Now, I had a look at the last Financial Report. There were 3,130 shareholders on the registry on 7th March 2019, and I'm going to assume that number has remained static. Now, I know not everyone is going to take up the offer, so I'm going to work on 80%.

So, 80% of 3130 = 2,504 (let's call it 2,500).

The price of these new shares will most likely be $6.66 (yeah, yeah, I know, the Devil's number, but that's only for the superstitious).

So, $10M divided by 2,500 = $4,000.

And $4,000 divided by $6.66 = 600 shares.

By my calculations, that is ALL each and every loyal shareholder is going to be able to buy, and in the meantime, the institutional investors (most of whom have probably never held one share in the company) will be able to buy $68M worth (which equates to 10.2M shares).

So, is my mathematics correct?

BB