Alkaline Water Comp Inc (WTER)

[236T568]

It appears that the investment industry is "getting it" - big red flags coming out all over the place...


https://www.hotstocked.com/article/93459/alkaline-water-company-inc-otcmkts-wter-surges.html


"WTER finished the quarter ended December 31, 2015, with rather limited cash reserves of $110 thousand and a sizable working capital deficit of over $1.7 million. On March 23, however, they completed a $2.97 million securities offering which provided a much needed boost to their financials. There is one huge red flag though - in order to raise the money WTER sold 9 million shares priced at $0.33 each and warrants for the purchase of 4.5 million shares with an exercise price of $0.50. As result of the issuance of so many shares WTER's outstanding shares more than doubled - from 5.7 million as of February 22 to 14.7 million following the offering.

The threat of these cheap shares getting unleashed on the open market should be taken into consideration when planning your position in WTER's stock. Don't forget that back in January the company issued 3 million options with an exercise price of $0.52 to its officers and directors and 1.31 million options with the same exercise price to employees. "