Sinovac Biotech Ltd (SVA) : Common share offering over-allotment

A little bit of good news (and bad news) depending on the point of view.

1. SVA announced that the underwriters will be exercising their option to purchase an additional 1.5M common shares to cover over-allotments.

2. This is good news as there is demand for the shares.

3. The downside of course is the dilution.

4. So, where do we go from there. My bet is that the price will not fall much further. We should probably see some support coming.