chookychookPlacement is done so no way of changing that. I was...

chookychook

Placement is done so no way of changing that.

I was highlighting that no prospectus has been released yet for the rights issue that the company was "proposing". Also did not see anywhere in the announcement that a binding underwriting agreement had been executed with Prestige Glory - or did I miss that?

Also worth highlighting that the rights issue was proposed on the basis of "at least one" ZYL share for every two ZYL shares held. So given trading at 0.8c I would suggest that the same dollar amount would be raised but at a lower price and perhaps the ratio would go to a one new for one old or even a 2 for one.

It seems inconceivable that Prestige Glory would pay more than double for a share that they can get in the market and that they could possibly get cheaper by renegotiating the rights issue pricing or ratio.

Either way dilution to existing holders if they don't take up the rights, and why would you at these prices - so the rights issue would have to priced at a reasonable attractive discount . Worth pointing out that Prestige Glory will fully underwrite the rights issue or "procure that the rights issue is fully underwritten". Wonder who they would go to as an alternative.

Whatever for so long as the rights issue is not confirmed or a binding underwriting agreement in place then the risk is still out there and the price will continue to struggle which is a massive shame for shareholders and management should be doing all they can to sort out.