Sphere 3D Corp (ANY)

[donkschmonk]

US$ 6.50 should become the new MINIMUM even before closing! This as not only has Cyrus Capital agreed to a conversion rate of $6.50 of their previous loans to Overland (little history re-cap), NOW this is a NEW loan where they agreed that at least half of the repayment of principal to them at closing will not be done in cash by Sphere to them, BUT done in the form of shares of Sphere 3D at a MINIMUM value per share of $6.50!

So, to spell it out: For the below mentioned principal (text from latest OVRL PR), if the value of Sphere 3D shares goes up then Cyrus effectively gets Sphere 3D shares at the higher trailing price as defined below, AND at MINIMUM they effectively will have paid in lieu of their principal $6.50 a share! And that’s what a large shareholder and professional institutional investor (pls check out Cyrus’ profile again) agreed to! So clearly $6.50 per share should become the new MINIMUM price per share!

Excerpt from latest Overland PR: Sphere 3D has agreed that, immediately after the closing of the merger transaction and subject to regulatory approval, it will issue common shares to Cyrus Capital in repayment of $2.5 mln of the principal amount of the Overland Financing, at an ascribed price equal to the 20-day volume weighted average price ending 3 days before such conversion but in any event at a minimum of $6.50. It is expected that no more than 384,615 common shares of Sphere 3D will be issued to Cyrus Capital in connection with such repayment