InvestorsHub Logo
Followers 7
Posts 1577
Boards Moderated 0
Alias Born 02/27/2014

Re: None

Wednesday, 11/19/2014 8:24:27 AM

Wednesday, November 19, 2014 8:24:27 AM

Post# of 80868
could be there won't be any dilution in 2015.

reason is that Musclepharm needs financing cash flows down the road to stay afloat and building the company...so, whatever it takes to maintain the stock price in the $10-20 range versus $5 range might be the ambition.

At the end of the day, no Ceo of any company with $180 million sales makes $6 million every year....I mean, Pandora Jewelry, a $9.3 billion market cap company....the Ceo makes $4 million.

Even if Brad desires an above average salary....he could just write himself a higher bonus check...

My assumption...if we are going to see any dilution next year, it will be equity financing in second half of the year. No such thing will be announced in the beginning of the year...it simply would not be worth it to Brad. Brad should buy some stocks, write himself a decent bonus check that doesn't dilute his existing stock holding....and caso cerrado!

Frequently, employees are given equity compensation after rounds of equity financing....exactly what happened this year....but you cannot have too much of both at the same time.

To keep the option open to raise more capital if necessary...other wasteful dilution might be something that will have to wait.