There is no free finance.If they were to have done a buy-back,...

There is no free finance.

If they were to have done a buy-back, we'd be in an even worse position, with even more very expensive short term debt, potentially with even worse terms, and outstanding for longer.

If the short term debt costs 30% PA, and the buy-back is for up to 30% lower than the raising price, then is it even worth the added risk? (Higher short term debt, and lower cash balance is simply risky)

And the raising at $1.50 is probably only $1.47 after costs.


Though I see the lucky opportunity if the SP was lower than the raising price, at a time when it was safe to do a buy-back (funded by profits).