What's next for blumont??????
Coming 22 October, this will be the payable date for those who have subscribed for blumont shares rights.
Costs of the subscription is 5 cents per shares...
1. LEVEL OF SUBSCRIPTION
valid acceptances of and Excess Applications for a total of 1,181,578,284 Rights Shares, representing approximately 137.23% of the total number of Rights Shares offered under the Rights Issue, were received.
Details of the valid acceptances of and Excess Applications for the Rights Shares received are as follows:
(a) valid acceptances for a total of 621,693,923 Rights Shares representing approximately 72.21% of the total number of Rights Shares offered under the Rights Issue were received and
(b) Excess Applications for a total of 559,884,361 Rights Shares representing approximately 65.03% of the total number of Rights Shares offered under the Rights Issue were received.
2. ALLOCATION OF RIGHTS SHARES FOR EXCESS APPLICATIONS
The Rights Shares which were not taken up by Entitled Shareholders and/or Purchasers under the Rights Issue were fully allotted to satisfy the Excess Applications. In the allotment of the Excess Rights Shares, preference was given to the rounding of odd lots. No Excess Rights Shares have been allotted to any Directors and Substantial Shareholders who have control or influence over the Company in connection with the day-to-day affairs of the Company or the terms of the Rights Issue, or have representation on the Board (whether direct or through a nominee).
From corporate website...
Subscription date for the blumont rights shares ended at 10.10.13 when the saga/prob of the SIAS has already happened. Combined with the sharp drop in share prices, it is understandable that 65% of excess application of rights are seen.
Investors of blumont who witnessed the sharp drop will either double their stake in blumont by subscribing excess rights. In doing so, they are able to get more shares at a cost of 5cents and sell @ current price of 12-25 cents atm.
We will see more selling pressure as the rights shares are being introduced. Prior to the payable date, my take is that blumont will break 10cents and its share price will come to a test since investors of blumont will want to cash out and profit from their cheap converted share at 5 cents. Profit is easily doubled at current price of more than 10 cents. Since settlement date is @ T+3, we will see more sellers start coming in @ Friday, which is T-3 of the payable date.
Costs of the subscription is 5 cents per shares...
1. LEVEL OF SUBSCRIPTION
valid acceptances of and Excess Applications for a total of 1,181,578,284 Rights Shares, representing approximately 137.23% of the total number of Rights Shares offered under the Rights Issue, were received.
Details of the valid acceptances of and Excess Applications for the Rights Shares received are as follows:
(a) valid acceptances for a total of 621,693,923 Rights Shares representing approximately 72.21% of the total number of Rights Shares offered under the Rights Issue were received and
(b) Excess Applications for a total of 559,884,361 Rights Shares representing approximately 65.03% of the total number of Rights Shares offered under the Rights Issue were received.
2. ALLOCATION OF RIGHTS SHARES FOR EXCESS APPLICATIONS
The Rights Shares which were not taken up by Entitled Shareholders and/or Purchasers under the Rights Issue were fully allotted to satisfy the Excess Applications. In the allotment of the Excess Rights Shares, preference was given to the rounding of odd lots. No Excess Rights Shares have been allotted to any Directors and Substantial Shareholders who have control or influence over the Company in connection with the day-to-day affairs of the Company or the terms of the Rights Issue, or have representation on the Board (whether direct or through a nominee).
From corporate website...
Subscription date for the blumont rights shares ended at 10.10.13 when the saga/prob of the SIAS has already happened. Combined with the sharp drop in share prices, it is understandable that 65% of excess application of rights are seen.
Investors of blumont who witnessed the sharp drop will either double their stake in blumont by subscribing excess rights. In doing so, they are able to get more shares at a cost of 5cents and sell @ current price of 12-25 cents atm.
We will see more selling pressure as the rights shares are being introduced. Prior to the payable date, my take is that blumont will break 10cents and its share price will come to a test since investors of blumont will want to cash out and profit from their cheap converted share at 5 cents. Profit is easily doubled at current price of more than 10 cents. Since settlement date is @ T+3, we will see more sellers start coming in @ Friday, which is T-3 of the payable date.
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