Even with the good news, small shareholders will sell at market because they can buy at 2.5% under the VWAP in the SPP.
This has a few more days to run, then shortly those new shares will be available for sale.
In addition, subscribers get half an option each which subtracts some upside from other holders. The shares are already "ex rights" of a sort so expected to trade under 91c but the option is hard to value.
The final SPP price is uncertain and so is the final quantity since the prospectus allows them to accept subscriptions over the target total. If holders subscribe for $30k expecting to be scaled back, then there will be a whole lot of short-term selling pressure.
Long term (weighing machine) this stock could be worth well over the option strike price but short term (voting machine) the cap raise will keep a lid on the price.
info from the Prospectus 10/5/2023
The SPP is currently an "Assumed Price" Between 0.91cps and 0.81cps
Time Line Monday 29/5/ - Announce the results of SPP Offer: so the Shares could be re-priced here circa 29th May to 1st May - once trading
