Austco puts out out their hand for a capital raise

Bell Potter are the underwriters.

Bell Potter also did the raise for Clarity Pharmaceuticals and only 33% took the offer.

I think this could head the same way. Extra 15m shares for retail OR Bell Potter has to buy up to 10m shares (going by the 33% using Clarity and an example) if retail do not take the offer.

I know comparing Clarity Pharmaceuticals and Austco is not an apples to apples comparison but I'm making the point that that retail right now doesn't have the stomach to tip money into the begging bowl unless there is very clear upside and synergies.

Sold on the pop on the morning

[not held].

Found a bear case while scrolling through my feed

Tauranga Investments - Feb 2024 update

It is a bit old as it was published before the Q3 update but does highlight the challenges faced by AHC one being less cash as a result of acquisitions, revenue growth versus software costs and now the trading halt pending capital raise.

[held]

Austco awarded $7.4m contract, largest in its history

New canada contract. Share price up on news

[Held]

Latest results

Seems like business as usual

Held

Pop in share price after AGM update

Would have been good if they had a slide that tracks their progress against competitors. Otherwise lots of content to take away and digest.

Still have watch position

[held]

Maybe I'm a bit picky but biggest concern is the lack of shares traded on AHC. Trading of shares seems very illiquid and is difficult to get a sense of what the market thinks about this company.

Another concern is there are other bigger players competing for the same pie including Phillips.

Despite this, I took a small starter after reading some of the previous straws by Noddy74 and Wini (must have taken weeks to finally get some shares), but then bumped my partial fill back down a bit while I do more research into the competitive landscape. Not keen on making a full position yet.

[held]