VCR ventracor limited

placement=9.26%=$2.86($3.15 base), page-19

  1. 36 Posts.
    Interesting Mill99 ,so how do you explain the foolishness of 'sophisticated investors' who pay MORE than the market price to get in ? For example see the recent placement in MGX as just the latest of many ?

    The fact is that sophisticated investors know this stock has many major risks ahead of it and many will want to simply stag their new shares directly into the market requiring that there be a premium to stag into (in this case nearly 50% .)

    The companies concerned raise cash this way because it is easier and less costly than a full blown rights issue etc.
 
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