The Betmakers Technology Group Ltd (ASX: BET) share price will be on watch this morning, following an update on the launch of the company's share purchase plan (SPP).
Yesterday, the BetMakers share price finished the day at 70 cents per share.
Share purchase plan in detail
The Betmakers share price could be on the move today, after the company provided further details of its non-underwritten $10 million SPP. This comes after the company previously announced a $50 million placement to institutional and sophisticated investors to acquire UK-based Sportech PLC.
According to the announcement, the company is offering eligible shareholders the option to subscribe for up to $30,000 worth of new shares. The record date for eligibility expired at 7pm AEDT last night.
Under the SPP, all eligible shareholders will be able to participate in the offer, free of any associated brokerage or transaction costs.
BetMakers has determined that the offer price will be set at 60 cents per share. This represents a 6.6% discount on the volume weight average price over the last five trading days before the announcement on 1 December. It's worth noting that the proposed offer price is also a 14% reduction on yesterday's closing price of 70 cents.
The opening date for the SPP is 5 Janaury and it will run until close of business on 15 January. All shares acquired through the placement will rank equally with existing ordinary BetMakers shares.
The new allotment of shares will be added on 27 January.
How has the BetMakers share price performed in 2020?
The BetMakers share price has been on fire over the past 12 months, jumping close to 400%. In March, the company's shares fell to an all-time low of 8.1 cents, before surging this month to a record-breaking 79.5 cents.
Based on current share price levels, the company commands a market capitalisation of around $421 million.
