Investment firm TransCentury is set to launch a rights issue whose proceeds will be used to repay $80 million (Sh7.5 billion) convertible Eurobond it issued in 2011.
The decision, communicated to investment analysts, is aimed at boosting the company’s cash position.
The cash call will see shareholders pump in nearly double the company’s current market capitalisation of Sh4.5 billion, with those sitting out the rights issue facing significant dilution.
LINK"There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
.