RE:RE:Someone can explai how the Public offer worksuddyboybruce - (6/24/2020 1:06:31 PM)
RE:Someone can explai how the Public offer works Covid19Investor wrote:They offer for .13, but the SP is .09 ?
Thanks,
The weighted average trading price of the ZENA Common Shares on the Toronto Stock Exchange (the "TSX") for the 5-day period ending on June 18, 2020 (before the offer) was 15 cents. The offer of 13 cents a discount to the market at that point in time. To understand why, perhaps, the SP is 0.09, I would recommend googling zenabis short selling financiers. naaah - you're wrong dummyboy. Share prices aren't the result of a 5 day weighted average. Share prices are determined over longer periods and in Zena's case it goes back to October of 2019.
On October 24, 2019 Zena put out a $20 million management 'fund raiser' at .15 cents a share. Given the fact that you like 5 day averages, the .15 cents was at a 73% discount of the 5 day weighted average at the time - which was .48 cents!
SO, naturally the share price driopped from .48 cents to .15 cents in about an hour!
THAT is how we got to .15 cents.
