Trend,
Thx for explanation... guess it is good news only having a 54% dilution instead of 105%
what really angers me is all the warrant price ADJUSTMENTS. been seeing this since sabby came in to the picture. started at 80 cents if I recall correctly. now a few years later down to 5 cents.:(
Who can we blame , I say McNally and Reynolds to name a few.
Private Placement Transaction
On February 27, 2015, we completed a private placement transaction and issued a total of 3,000 shares of Series C Preferred Stock, with a stated value of $1,000 per share and an initial conversion price of $0.18, to two accredited investors. On April 8, 2015, pursuant to certain price adjustment provisions contained in the transaction documents, the conversion price was adjusted to $0.142. The conversion price was further adjusted to $0.09416 on December 4, 2015, and to $0.05 on December 22, 2016. Each share of Series C Preferred Stock is currently convertible into 20,000 shares of our common stock. Each purchaser of a share of Series C Preferred Stock also acquired a Series D, a Series E, and a Series F Warrant (collectively, the “2015 Warrants”) to purchase a share of our common stock. See “Description of Securities” for details of the terms of these warrants. We also issued a warrant to Maxim Partners LLC to purchase 1,333,333 shares of our stock (the “Maxim Warrant”) on substantially the same terms and conditions as the Series D warrants. The Series C Convertible Preferred Stock, the 2015 Warrants, and the Maxim Warrant were issued in reliance upon exemptions provided by Section 4(2) of the Securities Act for the offer and sale of securities not involving a public offering and Regulation D promulgated thereunder.
