I have been giving the 40c offer to Instos to raise 91M some...

I have been giving the 40c offer to Instos to raise 91M some thought....The ABP shares have been diluted by near 15% (Unless I calculated wrong), yet the insto only took a 5% discount to the SP...Mmmm why? The Insto was a bank, is it possible that the property firm has talked them into raising the money to buy into something that will earn considerable cashflow in the future.

I would hope so...to me this is the only logical reason for them to 'pay down anymore debt' in my mind. As they had already paid down debt to a comfortable level.

1)Either they are working on a substancial cashflow deal

or

2) They believe another GFC is around the corner and do not wish to be leveraged.

or

3) They are stupid and will lose the confidence of investors.

Still not happy that the shares have become so diluted, yet if they release that the purchased a shopping centre, etc in the future that will add huge EPS. Then they maybe forgiven.

Can anyone offer any extra insight into this? I left a message with Investor Relations to try gain more info, yet the ANN did not offer much. Therefore i am guessing they will not state anything different...