By the time they got to that stage the dilution had already...

By the time they got to that stage the dilution had already started. The rights issue would have been a flop. It was too late.

They had already started paying off vendors with millions of shares . These were businesses owed money not share market players. Reluctant holders, this is when the rot started.

Reluctant holders will not be taking up their rights.

Tapping the retail punters for a million was about as much as they could hope for. They pulled it off. The company thanks those for their support.

So much so they issued some shares at .001.
Remember that they dont pay full price for the face value of the note, so they actually got them cheaper.

Hopefully .001 was a stuff up and they cop a pasting for it. It isn't the first time this year they have overstepped the line issuing shares.