the good and bad news, page-14

The thing to keep in mind is that there have only been two trading days since the shares went ex-entitlement and the rights commenced trading. Given that there is still another two weeks of rights trading and then a further week before the offer is due to close much can happen in that time.

The timing of this issue took me by surprise given that the UK purchase still has to pass regulatory hurdles and due diligence. Therefore the timing says to me that KEY are either VERY confident the purchase will go ahead or they have other alternatives to snap up if it doesn't.

In terms of timing, the rights trading ceases before the quarterly announcement is due and the entitlement offer ceases before the approximate completion date for the UK purchase.

Just on Ruvuma, for me I hope they don't farm in as they already have good exposure to Tanzania through the Nyuni & West Songo Songo blocks. To farm in to Ruvuma would increase their likelihood of needing further cash in the coming 12 months.