Good question. Well I topped up a few yesterday @ $1.28 so I am going to pass on the SPP....
Printable View
I decided a few weeks ago I had enough OCA so why even consider it because it's a capital raise
If I did my shareholding has already been diluted so why bother
Bit bad that a director shareholder can increase his already big share of the pie through participating in the book build - but then he's the big end of town and a sophisticated investor who cares little for little insignificant shareholders....and he is an Independent Director looking after our interests
Sold some at 1.34 today, and have signed up for the capital raise. Just hope my application is not scaled back too much. So looks like will make a few bucks over a week or so. But fear that the price is artificially high now, and will go below $1.27 after its all over.
I see no reason for the price to be " artificially high " currently either. It is possible that retail shareholders who are successful in the capital raise will be allotted at marginally less than $1.30 given the discount available but the weighted average price is based over the 4 trading days this week and the additional day on Monday 12th, and based upon todays prices/volume I would not be holding my breath.
On another note it seems that the 20/21 financial year balance date has already happened ( 31 March, brought forward from 31 May ) so we are due the full year ( 10 month ) results later in May and presumably a further dividend announcement, for which all the new shares will be eligible so again expectations in that regard should be moderate.
OK - so with the directors digging deep I thought I follow their amazing example. Greg Tomlinson added recently 22.6% of new shares to his portfolio and I thought I just following his shining example ... admittedly, the total of shares in my portfolio is somewhat smaller ;) than his;
Well, that's the percentage (of my existing OCA shares) I applied for - obviously now I need to see whether small retail investors are heavier scaled than the big boys ...
Back to my rational for participating in the CR: Obviously - directors don't know either what short term impact the current fear campaign of some disgruntled property investors on this thread against the new tax policies of the government might have on the OCA share price, but I am pretty sure that the directors have a better grip on the fundamentals of OCA than the general public ... and nobody would throw several additional millions at new OCA shares (as GT did), if they would be concerned about the future profitability of the company due to a too high salary budget ...
I applied for 100% of current holding but am expecting to get scaled back heavily. If I get the 100% Ill look to trim by the end of the year once the big recovery happens ;)
I share your thinking regarding directors buying shares. Its almost like cheating in a way, they have complete inside knowledge and like you say wouldn't be piling millions into something they knew was a dog. I copied the directors of MHJ and TRA when they purchased shares and that worked great. A couple weeks back TWR insiders purchased shares and I'm kicking myself for not buying some because it has since gone from $0.72 to $0.81, easy gains.
Insiders buying (in this case big) is a very good sign imo.
Got a 'reminder' email from OCA re the raise. Hope it's going ok, can't recall the last time I got a reminder about a raising except when they were undersubscribed.
I applied for about 30% of my current holding. Anticipating some scaling, but I'm not talking big dollars, so not too fussed with whatever the amount of scaling will be.
Insiders buying good ......esp when the one independent director who bought big increased his %age holding in OCA (a bigger slice of the bigger pie) in the book build
At the same time when small shareholders will fight over the scraps (and probably end up with a smaller piece of the bigger pie.
Doesn’t seem quite right.