placement facility, page-2

tom, a rule came in a while ago that companies could raise extra funds- on top of the amount they were able to raise, by asking shareholders to vote for it. Companies can do a raising to anyone at all- a placement is usually to "outside" investors, ie not to shareholders, but a raising can include shareholders, via a renounceable, or non-renounceable issue, or a share purchase plan. Placements are often done immediately, usually to "sophisticated investors" (as defined in the Corporations Act), whereas a rencounceable or non-renounceable issue, or a share purchase plan take a while for funds to be raised.

Dilution is discussed/calculated on p.14 of the meeting memo:

http://hotcopper.com.au/announcements.asp?id=622333

You arte right about dilution- it means there are more shares on issue, so yours are worth "less", but what it means in practice, is that the market usually "values" a company on market capitalisation, so if a company is valued at $10m market cap, if additional shares are issued, the market will *in general* (but not always) still price the company at the same market cap, so there can be a lowering of share price, but the same market cap. Hopefully, if companies raise capital, it improves the company, so the share price can rise. when people mention an "overhang", they often mean there is a bunch of new investors who have received new shares, and just want to get out with a profit, so the share price can kind of go nowhere for a while. The new shares will always remain though, unless the company does a share buyback (not likely in speculative minnows because companies don't have the money to do so). Capital raising is a part of life for the smaller end of town ASX-listed shares.

If AWD gets their GRES loan through, they should (hopefully) be raising- if they do- at a higher level than the current share price.