I am currently intending to take up my guaranteed allocation of the N Brown (LON:BWNG) open offer. This entitles me to buy shares at 57p. The current market cap is £182m, they are looking to raise about £100m. The price has been gyrating wildly this week - up 12% or so yesterday, down 7% or so today. Obviously I will wait until the last moment before taking up the offer, but I have to make a decision by noon on the 10th and I will not receive the shares until the 23rd. Presumably the share price will fall immediately after the new shares are created.

Should I really be looking for a price further above 57p than the current 63p before committing to buy?

Unlock the rest of this Article in 15 seconds

or Unlock with your email

Already have an account?
Login here