Ann: Options Underwriting, page-14

Of course it is. The closer to exercise price the more likely an underwriting agreement is needed. If AVL was trading at 3 or 4c people would have 1. been more keen to exercise their options and 2. been much more able to sell options to someone who would exercise if they couldn't afford it.

Your whole thesis on this is that the underwriter believes the stock is undervalued and this is a show of faith. Does that not feed into a theory of share price being pushed below intrinsic value and an ability to pump it back up and sell for a profit.

The alternative is you think this is where the share price should be, in which case underwriting 60m shares would be a slog to make a return