Hi Geoffrey,
Firstly, we do like NIC overall and are bullish the stock. There are a few parts to the raise which includes a $148m institutional placement, $148m non-underwritten placement to Shanghai Decent which will push their shareholding above 20% and $18m share purchase plan. The institutional placement is priced at $1.37 versus last close at $1.455 i.e. a 5.8% discount which is slim. Our Shaw analyst Andrew Hines that covers NIC was not surprised by the raise and on his numbers, NIC is trading on just 5.5x CY23 earnings.