Today you have approx £24m divided by 458m shares ,tomorrrow you have an extra 186 m shares in issue,,so you are now one third poorer .The 5 p paid by participants in the placing only tells you what they paid for those shares not what they are going to be worth . Whichever way you dice it ,it is a dilution of the value of the shares that existing shareholders held .
The closing of the share placing this week will dilute the mkt cap down to about £15 m or so .The shares in issue is not over troubling in the Aim world.The debt repayment schedule has been set out for all to see ,there has been no pressure taking the sp below the 5p placing ,It may dip on the share issue which to my mind is a good buying opp,if we get more positive bopd figures which could average 8x400 we will hopefully see a nice re-rating .If production gets to 5-6kbopd we should see a better mkt cap than this.
Datafeed and UK data supplied by NETbuilder and Interactive Data.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk!
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.