SPP Logic, page-2

First 2 Last

Share
Profile

Follow
BrkONthru

58 Posts.

21/08/20

14:38

Post #: 46721863
Share

Originally posted by tina25: ↑

Just some SPP Logic now.

1. They will not close early.

2. 8349 shareholders as at 31.12.19 (Annual Report). Say that more people became shareholders over the last 8 months due to the excitement generated in the BNPL sector and say only 8,000 applied. That means $1,250 for each shareholder. That's half the minimum amount.

3. There may be some loss of numbers because some people changed address and don't know how to apply, late mail, overseas holders ineligible, some don't bother, some cannot afford it or whatever the reason. Now that means there could be 5,000 apply and that works out to be $2,000 worth. Still below the minimum.

4. THIS IS THE IMPORTANT PART...See 10.2 of the booklet. 'If Splitit elects to scale back the number of SPP Shares to be issued under the SPP Offer, the scale back may not necessarily be on a pro rata basis. Splitit may decide to allocate a minimum amount to all applicants, which may be
less than the minimum amount Eligible Shareholders would be entitled to subscribe for under the SPP or less than the parcel of SPP Shares for which you have applied. In implementing any scale back, Splitit will ensure that smaller Shareholders can obtain a meaningful allocation which may be more than their pro rata allocation.'

5. The issue is not underwritten meaning they expect the shares to fly off the shelf. Thus only the 2% handling /management fee to Canaccord their broker.

Conclusion: Get you paperwork or electronic application in whatever time frame suits you. Expect to get a small allocation.

Watch This Space.

Expand

That's logic right there.

Though in 1.1 of the booklet is concludes "... Splitit intends to raise a maximum of $10 million under the SPP Offer, however, the Company reserves the right to accept oversubscriptions in its discretion."

Guessing thats a pipedream ?

SPT Price at posting: $1.45 Sentiment: Buy Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

S32

South32 flags higher Mozal costs as site's electricity supply remains 'uncertain'

HotCopper Highlights: RIP to Botanix (for now); Droneshield new ATH; Trigg mystery halt

Listen: HotCopper Wire Podcast 017 – RBA holds the toppings

AII

Inside the depths of Panasqueira: A legacy carved in rock

Week 28 Wrap: Tariff chaos back for some reason; CBA holds strong

First 2 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

SPP Logic, page-2

Top Stories

South32 flags higher Mozal costs as site's electricity supply remains 'uncertain'

HotCopper Highlights: RIP to Botanix (for now); Droneshield new ATH; Trigg mystery halt

Listen: HotCopper Wire Podcast 017 – RBA holds the toppings

Inside the depths of Panasqueira: A legacy carved in rock

Week 28 Wrap: Tariff chaos back for some reason; CBA holds strong

Featured News