I am thinking about buying in, was just wondering on peoples opinions on option incentive next month? where people who convert their option get a bonus free option?
with 37 million options on issue, with the incentive to convert in coming weeks i suspect there will be a lot of dumping as a large percent of people sell their stock and then buy it straight back at the option price.
normally in all other stocks this drags the price down almost every time to the option conversion price, but this stock has the double whammy where there is then a free second option given for 12c.
potentially people could dump both options doubling their money.
good for the company as they raise lots of cash, bad for existing holders i guess.
but could it create a good buy in opportunity for us folks entering?
MFE Price at posting:
26.0¢ Sentiment: Buy Disclosure: Not Held
