RE: Timing of raise13 Jul 2025 11:14
Continued ;
5) Going back to fiduciary duty to shareholders, that duty was to existing shareholders at the time of the raise - not to investors looking to buy in at 0.8p with no existing holdings. These are the people who will have benefitted most from the timing of the raise. Next will be any existing shareholders who are happy to participate with enough cash so as to average down on their existing holding. And then coming off worst are the existing holders who either don't have the funds to participate, or else are unwilling to take more risk to add to their current risk - maybe people like Master with seemingly a considerable no of shares at 4p.
6) Both Petrovis and MB through this strange timing have presumably made themselves heavily underwater with their every large holdings ? And presumably Petrovis have in turn a fiduciary duty to their own shareholders to protect their interests and to exercise appropriate due diligence and care in their dealings ?
7) It's only ethical for the company to now reveal why the timing was such that it was, so that it advantaged the most newcomers without averages at a higher share price. If there was something that suddenly happened say in the JV negotiations which triggered a sudden snap decision to raise at a very low market share price then we need to know what this was.
Otherwise, if a raise had been planned for many weeks then we need to know when this process started - which would then beg the question, who was taking responsibility for assessing the optimum timing in terms of market share price action and movement ? Previous raises have tend to be done after a sharp upward movement, such as after the local access consent news last year - so this one was very much" out of character. "
8) What are the implications for a hostile takeover, given that someone buying in at 0.8p is far more likely to accept a desultory let's say 2.5p offer for the company than someone like Master on an average of 4p ? And if some LTHs on higher averages decide to sell up, and their shares are then snapped up by newcomers at say under, or around 1p then this risk surely increases ? Presumably that's the problem of not protecting the share price, or the mcap.
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