FAR chairman, Michael Evans, said the concept of the SPP was so that shareholders were offered the same 'below-market' price that the buyers of the placed stock were able to gain, usually between 10 and 20 per cent of market value.

It saved companies the expense of preparing a prospectus for the offer, and usually being limited to a small parcel of $3000, shareholders were not in any danger of losing significant capital on a deal that may not have had the scrutiny that accompanied a prospectus.

The FAR deal is pitched at a 15% discount while Amity is offering a 10% discount.

The offer is free of all brokerage, commission and stamp duties.