Tytan Holdings Inc (TYTN)

[steved_45]

When Dilution Can be a Good Thing

The vast majority of growing companies dilute their existing shareholders. As long as each successive investment values the company higher than the previous investment does--everyone wins.

Look at Facebook for example:
http://tctechcrunch.files.wordpress.com/2011/01/facebookgraph-r7big.jpg

They've diluted their investors 16 times--10 times in the past 3.5 years. Do you think any of their investors are complaining? TYTN isn't the next 100BB tech company but they're growing and expanding rapidly. The deal with Weir and Harrod just gave them a global presence with extensive contacts in Asia, South America, Africa, Middle East and many other emerging markets

Mark has repeatedly stated that he will not destroy shareholder value. He upped the A/S so that each successive investor that comes in can buy a stake at a higher and higher valuation. This way the money has working capital to expand globally and keep up with all of their dealer's demands.