Ann: Entitlement offer of RLC options opens, page-13

Agree shares also good buying at current price. With Opts:

These calc at 2.0c with 4.7c SP and 80% volatility. Poss current price depressed somewhat with holders selling to clear funds for oppies..

The key Opt pricing variable under Black-Scholes is volatility %. There is a good argument volatility s/be >100% with SP last 3 mths high:low at 7.5c & 3.4c and 6m-1Yr 7.5c & 1.2c.

B-S at 100% volatility at curr SP 4.2c gives 2.2c/option. At 4.7c to 4.8c SP gives 2.6c/option.

Like other posters, I would prefer the option price at 1.5c but believe opts are priced by directors at apprx 20%+ disc to mkt when announced.


I'll take up my share. See the directors have already exercised some options to increase shareholdings (and options allocation). Why would they do that?

Use this to check calcs if like: https://www.hoadley.net/options/optiongraphs.aspx?

Good luck to those waiting for <2c on-mkt...