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- 3 April 2020
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New to Retail Investment Offers so was wondering if anybody could give me some insights. Thanks in advance!
STORY: I regretfully have some fairly recent shares in webjet, which until recently I wanted to get rid of, but they have since had a successful equity raise and are looking at enough cash to get through a very bad year, which seems to be at least a somewhat positive sign.
Having held a successful institutional raise at a heavily discounted $1.70 (currently trading at around $3), they are soon offering a retail investment offer on a one-to-one basis for the same price.
GOAL: Best way to take advantage of this situation.. Given I am at around a 40% loss on my shares at their current price, would it be worth me selling, say half my shares now while the price is decent, and picking up an equal amount in the discounted offer next week to get my holdings into a better position?
QUESTIONS:
How does the sale usually take place and through what platform? Is my allocation guaranteed or is it a race I will instantly lose to bigger investors?
How long does it take for me to claim the shares, and am I able to sell the shares I buy through it straight away on the ASX and make an instant profit, assuming they are trading above $1.70?
The Record Date for the offer is listed as end of day today, yet the offer opens on April 8th. At what point in time is my one-to-one allocation determined -i.e. if I sold most of my shares next week, would I still be entitled to the amount I originally held at the end of day today?
FWIW I have attached a screenshot of the offer announcement.
I know that's a barrage of questions, but whatever you can assist with would be so helpful. Thanks for any advice.
STORY: I regretfully have some fairly recent shares in webjet, which until recently I wanted to get rid of, but they have since had a successful equity raise and are looking at enough cash to get through a very bad year, which seems to be at least a somewhat positive sign.
Having held a successful institutional raise at a heavily discounted $1.70 (currently trading at around $3), they are soon offering a retail investment offer on a one-to-one basis for the same price.
GOAL: Best way to take advantage of this situation.. Given I am at around a 40% loss on my shares at their current price, would it be worth me selling, say half my shares now while the price is decent, and picking up an equal amount in the discounted offer next week to get my holdings into a better position?
QUESTIONS:
How does the sale usually take place and through what platform? Is my allocation guaranteed or is it a race I will instantly lose to bigger investors?
How long does it take for me to claim the shares, and am I able to sell the shares I buy through it straight away on the ASX and make an instant profit, assuming they are trading above $1.70?
The Record Date for the offer is listed as end of day today, yet the offer opens on April 8th. At what point in time is my one-to-one allocation determined -i.e. if I sold most of my shares next week, would I still be entitled to the amount I originally held at the end of day today?
FWIW I have attached a screenshot of the offer announcement.
I know that's a barrage of questions, but whatever you can assist with would be so helpful. Thanks for any advice.