Not really sure about your math but I do understand where you are coming up with 3.7 Mil but I believe they are preserved under the old language and after converted comes to about 9,582,000 thus 418,000 left.
Steven,
The ratio of preferred shares to common shares on a fully diluted basis has never changed since the inception.
As an example, prior to the reverse stock split, the Preferred B Shares which are owned 100% by Lori and Myself had a 100:1 voting and conversion rights. So prior to 9/6, the 5,000,000 preferred shares would have converted to 500,000,000 common shares. Now those same shares only convert to 5,000,000 common shares post reverse. The 100:1 voting and conversion rights is now 1:1.
The same changes impacted Preferred C and Preferred D. Preferred C prior to reverse was 500:1, now they are 5:1. Preferred D prior to reverse was 250:1 now 2.5:1.
Prior to any preferred shares converting to common stock , there are 10,766,725 shares issued and outstanding.
The Series B Preferred shares of 5,000,000, at 1:1 will convert to 5,000,000 shares of common stock
The Series C Preferred shares of 500,000, at 5:1 will convert to 2,500,000 shares of common stock
The Series D Preferred shares of 833,000, at 2.5:1 will convert to 2,082,500 shares of common stock
As such upon conversion, there will be 20,349,225 common shares on a fully diluted basis.
This leaves over 79M common shares for equity raises and acquisitions. Which should be more than sufficient.
I hope I have done a better job explaining this time, I have been asked three times, we also stated these same numbers in our press release this morning.
William Waldrop
CEO
EVIO, Inc. (OTCQB: SGBYD)
702-343-7470
