So the rights issue application close date has been moved out to...

So the rights issue application close date has been moved out to Sept 6. While the extension is not a surprise I would suggest that they may have been better off not telling everybody that until Tuesday. I know that sounds a little unfair but we all know that many people won't hand over their money until the very last minute. With the deadline looming many people would have applied Monday and paid via BPay. That won't happen now because that urgency has been removed.

If they think that they have a great announcement for next week which is going to offset the generally poor market at the moment then the extension is a good call however removing the urgency to apply before the original deadline could still be be a shot in ones own foot. If the market goes further south the people who may previously have applied may not do so if market sentiment worsens mid to late next week.

A capital raising is like an auction, you need to create and maintain urgency. You have to call last bids to flush out any real bidders. There is nothing stopping you calling last bids several times but don't tell the bidders that this is only the first of many last bids calls as it defeats the purpose of the exercise. Sorry guys, to raise capital in this market you have to behave slightly differently to what you do in a boom. Just friendly advice but too late now.