I reckon I am happier that KEY offered a rights issue to...

I reckon I am happier that KEY offered a rights issue to existing shareholders, when clearly they have the usual 'sophisticates' waiting in the wings.

Ken and the team deserve plaudits for the fairness of this process compared to the usual dilution of small holders.

Smack23, I definitely agree with your comments about the fairness of the raising with all shareholders able to participate equally rather than KEY placing the whole lot with "sophisticated" investors. Although having said that, given the size of the raising KEY couldn't have raised the full amount via placement without shareholder approval.

I know I have questioned the timing of this raising given there are announcements to come. I don't think I'll ever know what the exact reasoning for it was.

Perhaps it was the chance to reward existing shareholders with the chance to buy more shares at a discount prior to some good expected good news? Some compensation for the options finishing out of the money?

Perhaps it was to ensure they got the raising away at a reasonable price rather than risk a possible bad/mediocre KN#1 seismic results? Better to raise at 11 cents than at 8 cents?

As I've mentioned, I'm looking forward to the announcements regarding directors shareholdings in the coming days, it'll be interesting to see how much faith the directors have in KEY. One thing I found strange for a non-underwritten offer was that I can't recall reading anything about the directors intentions, often with these sort of raisings the directors state their intentions.

Ah well, the raising is done and dusted, now for KEY to get down to business and finish off the purchase of the UK assets and make some firm plans for work on the Lidsey oilfield.