the company is about to double the amount of shares on issue. therefore, for the same market capitalization, the share price is worth 1/2 of what it was previously worth
if you bought shares at 5.3 cents, you are entitled to double your holdings for 2 cents per share. if you subscribe for your shares at 2 cents, you will preserve your personal % ownership interest in the company
therefore, if you do double your shareholding at 2 cents, your average share price will be 3.65 cents
regards
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