strategic investors - wink wink!!

Hi,

NEO placed some 33 million shares with strategic investors at 5c a pop. All this after SPP close on last Friday and shareprice hovering around 4.4 to 4.5 cents!!

Theory :

a) Either these strategic investors are very stupid because if they didn't subscribe to these 33m shares - the spp would have a shortfall and the SP will tumble to low 3's and they can then pick up as many as they like!!
As money is involved here, I would not think they are stupid.

b) Wink Wink!! Nod Nod!! - the announcement didn't say underwriters took up the slack (no commission or underwriting fees paid). When I rang up Nuenco Yesterday at around 2.00 PM Sydney time asking for the recent presentation given by MD - Lisa told me that she has to check first with Mr Kain but he is in meeting all day (at Office). I presume he must have been telling the good story (like the one he told me last week that NEO is worth many multiple times the current market value) and also backing it up with hard data (for private eyes only of course). The shrewd investors must have been told that there is a potential to at least double their money in about a month!

All this my hypothesis!! Your comments are welcome and appreciated.