I must say a thank you to all the shorters, doubters and...

I must say a thank you to all the shorters, doubters and naysayers of the Sept IMU SPP. I wasn’t interested in the SPP at all, until the IMU sp tanked to around 6c at the time.

I sold out of my large (at the time) holding of IMU a couple of years ago, and left only a token $200 residual holding to keep an eye on the IMU price action and any potential SPP’s. I don’t usually hold residual balances on shares I am not interested in, and certainly don’t hold 1 share in every ASX stock, like I heard some investors do to take advantage of SPP’s.

I received my full allocation of $30,000 because it was not well subscribed by shareholders. Only about half the SPP target was reached because at the time (and partly due to the SPP) IMU was probably the most hated stock on the ASX. I thought the IMU SPP was like picking up free money off the ground, because the institutional placement was done at 8.7c vs the IMU sp of 6c at the time of the SPP.

The SPP shares were finally issued at 5.7c each, and today reached 7.8c (up 37% in less than 2 months), so I exited at this price today. Cashing in $41k ($11k profit) on my $30k outlay for two months.

I still hold the free 1:1 options, which is now trading at 4c. So my free options are worth $21k (on top of the $41k in cash I receive for selling the shares). Total value is $62k for my $30k investment. Which is over 100% return in two months. The best thing is that I am free carrying the options and therefore still have exposure to IMU’s upside, if any. But if IMU goes to zero, I have taken out more than the cash that I have put in.

The only reason I went into the IMU SPP was to receive the free 1:1 options, thinking I will get out of the spp shares flat. The fact I pocketed an extra $11k on top of my $30k was a bonus!

No prizes for guessing which ASX biotech stock I am going to recycle my IMU profits into!!