Unable to get away an equity placing AIM Listed penny dreadful oil producer Sefton Resources (LSE:SER) today announced that it has started to draw down on its Darwin Death spiral (sorry Equity drawdown facility). But the amount drawn down is pitiful. Okay the lights do not go out on March first but death is merely postponed. And with the shares issued at just 1.1044p a mere £648,855 (pre costs) was raised.
First up – is this dilutive? Heck yes. That is another 59 million shares in issue. IN other words the company has just increased its shares in issue by 11.3% to raise a pitiful £648,000 (before expenses). Let’s call that £600,000. But with the shares having been listed at 95p and now trading at a share price of 1.125p investors are used to dilution.
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