Obviously was held down the last two weeks to so that the strategic investor could fill up as much as possible.
Funny how its only a 9.7% discount to the 10 day VWAP but a 41% discount to the previous placement shortfall at 8.5c
Hard to tell at this moment if it is a previous investor topping up (Fat Prophets etc) or a new one coming on board.
The 4.25m new shares represent only a 4.95% holding, meaning a substantial holder notice won't be coming out (if it is a new strategic) but it would be interesting to them popping up on the top 20. Seems like the placement amount was carefully orchestrated to consider this outcome. To determine whether this is a positive/negative outcome, I'm not sure, just a general observation. Happy to hear any thoughts.
The placement as a whole is sending me two very varied signals.
1. The small amount is all that is required to hopefully get the Company to a point not far away from debt financing. GREAT 2. The Company has struggled to get anyone substantial on board and all that they could scrape together was $230k. With this in mind, I think if debt financing is sorted out then maybe a big boy will see this as a major de-risk and come in and fill the gap of around $8m capital.
Still plenty of questions unanswered but I guess we will see in time.
BNR Price at posting:
5.1¢ Sentiment: Buy Disclosure: Held
