RE: AZs option purchase24 Sep 2020 16:12
Sam has explained the rns better than anyone else on here today. Either way, it is a win win for pi's and BOD imo. It also stops this bickering, mm games and pump and dump crew who are looking to make their 50% and then try their luck elsewhere which imo is hindering the sp. AZ has basically in no uncertain terms stuck a middle finger up to these antics and said follow the money into the new year and has put an end to these fun and games. In case any of you haven't read Sam's analysis of the rns, here it is again:
RE: AZs option purchaseToday 13:42
So as posted earlier but continued -
AZ/Orchestra group has just paid £1.1m to have the option (right not obligation) to buy 630m shares *IF* the SP is at or above 0.6945 on 31/12. So;
*IF* the SP is not at or above 0.6945, they cannot exercise the option; they loose £1.1m.
*IF* the SP is at or above 0.6945, they can buy the 630m shares @ 0.6945 which will cost £4,347,000 + £1.1m premium paid = £5,447,000 total for 630m (=0.86 per share)
So at the very least AZ confident the SP will be 0.86 (£5,447,000 / 630m) - as that is what 630m shares will cost (point above)
Why take this option and pay 1.1m for it. If at the time of exercising the option, lets say the SP is 1.2p, the profit/ additional worth of those shares would be £2,113,000 (630m @1.2 are worth £7,560,000 but through the option they cost / bought for £5,447,000)
Nice!
Any SP price at the time of exercising the option above 0.86 is bonus. The premium paid for option cost £1.1m.
Sounds like AZ / Avant confident where the share price will be at the end of the year if not sooner