melehuna, did you notice that I just earned $15M in cash flow for the company?
Suppose SIAF deposits $5M and orders the investment bank to repurchase 12M shares. Solomon will lend them his shares, and they will be returned to the company and canceled.
A year from now, it turns out that the average purchase price was a lot higher than 40 cents. Big surprise. So the company will have to put up another $15M or so (or return shares if they don't have the money). But that's a year from now
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