I didn't notice "presently" in your former post and if everyone is being truthful- "Presently" no one knows the details of any of these deals until the company releases them. And I beleive paying 6% interest[dividend] quarterly is certainly akin to having borrowed money. But everyone has a different opinion and I thank you for yours-
The detailed terms of acquisition that the Company would normally be releasing at this time have been limited by certain agreements with the sellers of TCB, but Phoenix can disclose the purchase price paid for TCB and its first acquisition in the Greater New Orleans area is in the low 8 figures.
The purchase amounts were paid in cash and preferred shares, and owner of the preferred shares has the right to put the preferred shares back to Phoenix for cash at any time after the fifth anniversary of the closing, or to continue to hold the preferred shares and earn a 6% quarterly dividend
.
The Company has indicated that the total purchased price of the three companies was set at $4.125 million, structured as follows: $1.25 million in cash, 2.5 million shares of restricted common stock of the Company at $0.05 per share, and 275,000 shares of PBLS preferred stock at a par value of $10.00 per share, paying a 6% annual dividend, to be paid quarterly. The holders of the preferred have the right to put any portion of the preferred back to the Company at any time after 60 months for cash. The stockholders may also elect to hold the preferred stock forever if they wish and thus keep receiving quarterly dividends as long as they hold the stock. In addition, both Mr. Bolton and Mr. Henley have entered into five year employment agreements with the Company.
Like I said before the devil is in the details- and since the details aren't public I choose to be more conservative.
BTW I see you are now a " free" member also.
