Share Purchase Plan completed, shares now trading

The shares from ALA’s Share Purchase Plan (SPP) were issued to investors yesterday. Approximately 58m shares were issued @3.8c, raising a total of ~$2m, and we expected the share price to naturally come back down towards the capital raise price.

After peaking at ~4.5c — which represents an almost 15% profit for those who took shares in the SPP — the share price closed down ~9%. But this is completely normal with some of the shareholders who took up the offer looking to sell out for a quick profit.

The share price might trade sideways in the short term as SPP investors look to sell out for the quick profits. The positive is that when those investors sell, the buyers of those shares help to form a new base for the company’s share price.

We expect that with a new base for ALA’s share price and progress on the key objectives (as set in our 2022 Investment Memo) will see the price move in line with the company’s progress, as opposed to general market dynamics.

Below is an image of the objectives we want ALA to achieve in 2022: