RE: December14 Nov 2021 10:50
Or simplifying it - Companies raise cash for two simple reasons 1. Stay afloat if cash flow issues or 2. Grow
For Cellular, assuming good demand and prospects, they could decide they need cash for growth. Media, capacity, R&D, acquisitions, strong balance sheet (cash) will be needed as more costs going out in short term. That’s why Cellular went public in the first instance, to raise £12m in cash.
For the shareholder, if not buying more shares it will dilute ownership of position. But, you may have a bigger pie to own. Therefore, share prices may rise based on future growth prospects.