I think we need to take into account any dilutionary effect that the recent subscription of 145Mil preference shares to Ptolomy and Nick Stone.
Quick calc estimate (very very rough) AOK @29cps, 145Mil shares issued = $42Mil of market cap (or $27Mil at 19cps)
SP delta between 29cps 52 week high and 19cps = 10cps
Shares issued as per last AGM (before recent preference share issued) = 626Mil
Share issued x 10cps = $62Mil market cap drop over Sept/Oct period.
The above is very very rough math.
IMO This has now been taken into account with the recent fall in the share price as they have only been issued. We should see AOK stabilise for the near term averaging 17-20cps.
Does anyone remember the voting for preference shares in January AGM? If so, what was the amount of preference shares to be issued as I cant recall the exact number?
Apart from the directors giving themselves shares and diluting the stock price, following shareholder approval of course, AOK's fundamentals are tracking along nicely as far as I can see.
AOK Price at posting:
18.0¢ Sentiment: Buy Disclosure: Held
