rights : no shortfall

OK - now here is something else you can chew over.
Have you had a look at the document posted today about the NEO rights issue - the one to be posted out to shareholders and presently posted as a news item under NEO on the ASX.

As I glanced through it one thing struck me as particularly interesting - the comment about "shortfall".

Shortfall happens where those shareholders who chose not to take up their rights end up presenting the company with a "shortfall". That is a pool of non accepted rights.

What is going to happen to them. Ah NEO can then offer the "shortfall" rights to other interested parties to take up at 6 cents.

Now I wonder who might be interested in taking up those spurned rights. You guessed it - IMHO those "sophisticated investors" we have heard about before.
Perhaps that ties in with the comment AK made at the Good Oil conference about the largest shareholders owning 45 % of the company and soon likely to own a lot more

This provision, IMHO, looks to me as though AK recognised that some (?) / a lot (?) of ordinary shareholders might shun the rights and he would be short of the funds he hoped to raise.
This way he can still come through with the money in the end and say that he offered all shareholders a chance to take up their entitlement.

So - are you going to cut off your nose to spite your face and give up your rights. Or do you want to maintain your percentage ??????

What do you think ????????