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I agree with you Krom, the retail investors have the shares to take this company away from Offor, and fired Ntephe, Odobulu, and the entire BOD if they even exist... have I mentioned that they don't govern this company *at all* before? Cough-cough.
But pigs backed into a corner will come out fighting. I can't envision a legal way for them to fight back, but there are plenty of gray areas or illegal paths they could take.
If there is anything that Ntephe has done clearly, it is to show that he will skirt the law to Offor's advantage when he can.
Ntephe and Odobulu must be fired for ERHC to be a viable public company.
I have been flooded with email telling me to shut-up and just buy more, it's "so cheap". That's not the way to play this.
Every share they sell after the 1 for 500 split Ntephe used on the website cuts our gain by 500. If you thought you might make $100K on a pre-split purchase, adjust that to 200 bucks.
That's what our star CEO wants to do according to the company website.
Nobody should be wasting money buying before the R/S and subsequent "Offor protecting reload dilution"
Offor, like us, is betting on oil, but he, with management assistance, is using every dime of other peoples money that he can find to get there. Is that illegal? Nope. Does it play into his Bill Gates wanna be philanthropist image he is trying to create? Not even a little bit.
IMO, whatever Offor thought he could become is shrinking... I guess that applies to most that bought this stock.
People that think like you project yourself onto us are light years away from penny stocks.
You are an enigma.
If Ntephe does a 1 for 500 as in his example on the company website, every share added *after* that split is really 500 shares to us.
So post split, when they say their selling 2 million shares to Offor, it's really 1 BILLION shares of dilution to us.
Pray they don't go down that path.
Unnecessary disclosure, I am a buyer... AFTER the split and subsequent crash in the share price. That's where the best bang for my buck is, IMO.
"Maybe this time he is just flexible and intelligent enough to take heed not to think the RS will fix the CD mistake!"
Ntephe may not have a choice. Offor may be demanding a R/S and follow-on dilution to regain his piece of the pie. There are between 2 and 2.5B shares out and Offor only has 305M of them. He is at extreme risk of losing his "big stick".
I don't know how this is going to play out, but it ain't looking good for us, the retail investor that has endured the mismanagement for a decade.
This can be saved. A farm-out has to happen, and soon, and Ntephe and Odobulu MUST GO... they have shown they will happily destroy us rather than take the high road.
I'm hopeful, but realistic that this is not going to be fair to us, the retail crowd.
To hell with Fiduciary Duty to shareholders... kiss one man's butt for your job. Ntephe should be embarrassed. He's nothing more than a corporate prostitute, IMO.
Why would I go to London if I think Ntephe is violating his fiduciary duty, under U.S. law, to shareholders by wiping us out?
What would that accomplish other than wasting airfare?
Assuming 2B shares out (it may be higher, meaning Offor owns even less)... 300,000,000 / 2,000,000,000 = 15%
Offor hasn't filed, so he hasn't bought any himself. I know you think Offor could have people buy 4.99% without reporting and they vote according to his wishes, but that isn't realistic. I would be ecstatic if Offor could maintain his control *without* a reverse split and dilution that eliminates us and our piece of the pie.
I really only see Offor keeping his control by wiping us out and I don't like it. I think it is illegal for Ntephe to systematically destroy the retail investor the way he is. Wave after wave of convertible debt, all at 60% of market. The last 10 months were DESIGNED to obliterate the share price. All that's left to wipe us out is a huge 1 for 500 reverse and then a convertible note to Offor for $2M. Offor's conversion would net him north of 85% of the company and we would hold current shares / 500 out of a company with roughly 35M out.
Look at it this way... if they did the above the share price would be 0.25 post split and fall to 12-13 cents almost immediately. A $2M note to Offor at 60% of market would net him 25-30M *new* shares. That 15 BILLION "current" shares adjusted for the split.
I hope your 11 are all they need plays out, because we're screwed if they split and dilute.
Kenya is meaningless unless we make it to drilling Krom. Has Ntephe given any assurance that we will? Nope.
The only thing Ntepha has done is to gag the Transfer Agent to try to hide how incredibly vulnerable Offor is right now. Offor owns less than 15% of this company right now and he could lose control very easily... all because he trusted Ntephe and Odobulu.
They should be fired.
You seem to have misspelled "Ntephe"
"ERHE drove that nail all by its self."
Mr. "Convertible debt is quick and attractive" is spelled N-t-e-p-h-e, not E-R-H-E. There is a slang term as well, it is spelled O-d-o-b-u-l-u.
Neither of these self serving sociopaths should hold leadership roles in more than a lemonade stand.
To Offor I say this, "what a pathetic waste". Offor trusted the incompetent and paid dearly. We *ALL* did.
Did you move to Colorado where they recently legalized that chit?
"Anthing done now will just spend more shareholder money on defending the people that caused it"
That was just as true at any point in this company's history as it is now.
Wow... and I mean WOW!
6 hours ago shareholders we're being blamed that they caused this mess...
"Wednesday, 05/06/15 11:39:12 AM
Post # of 302535
So you don't believe that ERHC shareholders should have a say in how this company is run despite the fact that we, not Chrome, own the majority of the shares of this company? I honestly believe that attitude is exactly what got us to where we are today. I thought we should have done something a long time ago. Unfortunately others didn't. So here we sit at .0004. Is Ntephe or Chrome to blame or are the majority of the shareholders who refused to do anything to stop this to blame? Offor is not the man, the other shareholders are. Unfortunately we have voluntarily ceded all decisions to Chrome and to a group of people who know NOTHING about how to run this company.
That is what annoys me and it has for a long time now. "
And now were being told there is nothing we can do, and good luck making anything stick...
"Wednesday, 05/06/15 05:28:56 PM
I don't think it is in any way, shape or form illegal to not participate in a rights offering. I don't even believe this was orchestrated. I still think Chrome didn't participate in the rights offering because he couldn't and that it wasn't part of some grand scheme to defraud shareholders. Good luck in trying to prove otherwise. If anyone is in trouble it would be Ntephe for failure to disclose. But even proving that would be a long shot. Go ahead and tell me what law you think Chrome or Ntephe broke. It is hard to prosecute incompetence and I think that is the main cause of where we are today. I would forget about the SEC doing anything and I seriously doubt that shareholders will band together to do anything either. And even if they do it will be way too little way too late. If Chrome ends up with the vast majority of shares and a much higher ownership, I fully expect he will get away with it. "
It's so comical it's not funny.
Middy, that looks about right. However, you are ignoring a glaring fact that may completely control Offor/Chrome's future moves...
By not participating in the Rights Offering, Offor/Chrome *CREATED* the crisis that forced ERHC to go the convertible route. To benefit from this self generated carnage that hurt so many investors would absolutely get the attention of the SEC. Shareholders would DEMAND it.
The Federal alphabet gang has been after ERHC since it landed the JDZ. Do you really think Offor/Chrome will play into their hand and gift them the end of the company? I don't.
Apparently you skipped over this part...
ssc:
"like every possible positive outcome it relies on ERHC obtaining funding for the next 9 - 12 months"
tryoty:
"The only missing piece that would make this work is a positive outcome from the MOU in the EEZ"
ssc:
in the scenario you described would Offor still be able to convert at 60% which would give him 416 million new shares
Post split that would be 41.6M shares, putting Offor at 322.1M out of 541.6M shares out, or 59.5% of the company.
IMO, that a small price to pay to get this CEO wannabe off of the toxic train. Ntephe needs to be STOPPED.
The liability the BOD face just keeps growing:
"we just don't know what the O/S is"
Every one of them needs to pay for this deception. It's illegal.
At this point Ntephe looks like a crack addict that found a credit card with the PIIN written on the back... he simply can't help himself.
The real liability here lies with the BOD. They *never* should have allowed Ntephe to use convertible debt... period. End of story. Knowing the consequences is their JOB.
The blame for this disaster lies with the BOD. Ntephe was too incapacitated to see the destruction he was creating, but the BOD should have seen it long before the first Note was signed.
Doing that from this level would mean 4X the number of shares. When the big pop happens, if it happens, that's a HUGE difference.
It's called greed. It's what got every single one of us into this mess.
Can you imagine the difference 4X the shares would make at $14???
HUGE!
"or it's already been done"
You're kidding, right?
The share price will jump on the open on the day after a reverse is done, reflecting that split.
I haven't seen a jump, have you?
"Can we be absolutely certain that the BOD, other than PN, still exists?"
How would we know? They don't do anything anyway. That's how Ntephe got us into this mess. The Governance over him is non-existent.
Try this WAG on for size...
The next 2 conversions take the price to 0.0001 and shares out close to 3B. They 1 for 10, lowering the shares out to 300M and raising the price to 0.001. Offor then converts his 250K into 250M shares, giving him a post split total of 280.5M with 500M out.
Offor owns 56% (up from 43%) and anyone that supported the company through this fiasco likely stayed whole, or like Offor, gained share. The only missing piece that would make this work is a positive outcome from the MOU in the EEZ... MOU expires June 16th.
I post this just to illustrate that there are literally 100's of scenarios that are not "horrible". We'll have to wait to see what they come up with.
It looks like Deloitte shorts stock before "advising".
They win, *everyone* else loses.
You are correct. Thanks for pointing that out.
Strategyone, I asked specifically for your thoughts on Offor and his piece of the ERHE pie shrinking. Do you think another entity is taking a large position, perhaps larger than Offors? Do you think Offor is going to regain his piece of the pie? A reverse split and more dilution are dependent on the answer.
Personally, a reverse split and then a limited private placement to Offor to give him his majority and ERHC the funds to get through drilling is high on my list. Just WAGing numbers; a 1 for 500 at 0.0005 would drop the outstanding to 6,000,000 and raise the price to $0.25. If **immediately** followed by a placement to Offor of 16M shares for $4M dollars would give ERHC all the funds it needs and ELIMINATE the fear of more toxic debt and it would leave Offor with 16.6M shares of the company with 22M shares out (or 75%+) of ERHE. Post split those shares would not drop with the funding in place, they would try to rise, only to be held flat by selling pressure from those that bought the bottom.
There are many hundreds of variants to the above, but you get the idea. I was asking for your ponderings on how Offor could get back his chunk, or why you may think he won't.
ssc, I will go on record right now and tell you, from years of experience in a public facing job, 90+% of people lie, and do so without batting any eye. I see it every day, many times each day. It makes me sick, but there is no morality left in the majority.
Did the T/A VP lie? I don't know. Would I be even a little surprised if he did? Unfortunately, no.
Using that, I don't think there is any way under that sun that Offor could have been granted a shorter conversion timeframe without significant liability... so late August before Offor can convert.
Until then one or more entities could own more shares than Offor. IMO, either Ntephe is working with Offor to eliminate us and face the legal backlash for that or he is working *for* us and eliminating Offor's control.
Tick-tock.
"We will know that answer around May 15th"
That's my take as well. Either the 10K or the expiration of the Right of First Refusal MOU, on May 16th.
A lot of where we are headed will become wonderfully or painfully clear in 2 weeks.
For that matter, has Ntephe engineered a coup of sorts? Offor's share is down to less than 15% now, and headed to below11% in a month... and what about those Prefered shares? Has the BOD granted preferred to Ntephe/Odobulu with those shares having a 1,000,000 multiplier on any shareholder vote? Prefered shares aer a Willie Wonka golden ticket. Are they in play?
Strategyone?
kingpin?
Bueller?
That's what is so confusing. See ERHC's PR about Chrome in at 8% and 12 month tenure.
How does Offor get out of this mess? What if there *is* no plan for a reverse?
To avoid writing a full blown novel...
- Some entity (CEPSA? The mystery EEZ suitor?) has/is acquiring a lot of these shares... Offor as well? They generally have 30 days to file with the SEC. We'll know soon enough.
- Entity becomes majority owner of ERHC and funds Kenya, Chad, and the EEZ, knowing full well *any* success will rocket their acquisition of "distressed" shares to more than reimburse their costs.
To the tomato throwers... I am putting this out there for discussion. Go easy on me. The fact that Offor has lost and is losing major share of ERHC warrants discussion.
Strategyone, I'm on the fence with that (not a comfortable spot, BTW). What I am struggling with is Offor. There are some 2 billion shares out now and Offor owns 305M of them. That's 15% of all shares. I assume that he wants at *least* the same pie of the pie that he had before (43%) and probably *much* more.
Offor has a convertible note for $250K. The share price sits at 0.0004... with 2 more $50K conversions becoming eligible, 1 next week and 1 next month. Next weeks conversion will take the share price to 0.00024 (208,000,000 new shares) and next month down to 0.000144 (350,000,000 new shares). As far as we know, that leaves Offor, who can't convert until next February. That's going to leave ERHC with 2.6 to 2.8B shares out (Offor still at 305M) and a cap of 3B... and Offor unconverted note in limbo until next February. Offor's piece of pie will be BELOW 11% next month.
Do you think Offor is willingly letting the size of his piece of pie shrink THAT much? How do you reconcile your no reverse split opinion with Offor's massive loss of share?
A reverse split, then wash, rinse, repeat will take the current market cap of roughly $800K down to $2,400, using the last 10 months percentage drop.
They have a $30M well almost completely carried. The market is assigning that carry ZERO value. Talk about a complete and total loss in confidence in the CEO.
Ntephe destroyed ERHC.
And the BOD does nothing.
Same as it ever was.
Same as it ever was.
I have 1 post left. I'll save it for later.
284 MILLION sh-sh-shares traded... put that on your resume Ntephe. What a waste.
FWIW, I don't care about a reverse split. The split itself is a paper change that does not affect the value of our holding. That said, in this situation, if Ntephe does a RS of 1 to 500, the shares will open at a quarter and close that day at a dime or less. The FEAR a Reverse causes will decimate the stock post split. It will be an immediate one day loss of 50% or more. And if he dilutes AT ALL after the split, that dilution will crush us out of existence.
If Ntephe doesn't know that he has no business in the CEO chair. If the BOD doesn't know that they have NO BUSINESS acting as Directors... oh wait, they don't... nevermind.
What a waste. Even more than the monetary loss, it was 10 years of my life phucking wasted.
My guess is Ntephe bought shares as CEO, saw complaints on this board that only he and Sylvan are buying, and then bought more listing himself as Director (which he is) to show the world that Executives *AND* Directors are buying.
I believe Ntephe really thinks we are that stupid... seriously.
The Board is not buying because they know Ntephe's inabilities. Strangely, they do nothing about *THAT*, even though they could face legal questions for not doing their job.
Good post, although the $0.25 share price was POST split after a 1 for 500, should it turn out that Ntephe's FAQ example be his intended plan.
You have something in common with Ntephe. You both think that you can make something true by saying it.
You've both been doing it for years!
Look at the reverse split this way...
That guy with the $300K paper loss (I forget who) will need to have the post split share price of $0.25 (assuming 1 for 500) run up to $200 to break even on his investment.
That does not account for any post split dilution, of which there will be some, if not a lot.
Yep. He has the Fiduciary duty to *ALL* shareholders and he is actively working to wiped us out. This *will* end up in a Class Action. That's virtually unavoidable now.
And the BOD does nothing.
Same as it ever was.
Same as it ever was.
Personally, I think DK finally showed a sign of ethical behavior and walked. I don't believe they benched him.
Slide 24 has another Ntepheism... that's where he tries to make something true just by saying it.
"reverse split to make investment easier"
It doesn't get musch easier than $0.0004. Hey Pete, in case you aren't good at math... that 4/100ths of a penny.
A reverse split does nothing but facilitate the annihilation of the retail shareholder... PERIOD.
For companies in ERHC's situation where the share count is changing drastically, the TA *cannot* legally disclose to selective individuals.
This does not impact the vast majority of companies with CEO's smart enough to avoid the "quick and attractive" toxic death spiral.
The do-nothing Board of Directors should have fired Ntephe on the spot when he decided convertible debt was the "quick and attractive" way to go. Are Offor and the BOD really so stupid that they will leave Ntephe employed? He should be fired at a minimum and prosecuted if there is any justice.