Dilution 1
Much talk about dilution here last 2 days. If you did your DD no surprise that shares came on mkt. 11-16 10Q sez 108,386,729 o/s. Note 10 to the F/S in that Q shows 38,704 308 to be issued upon conversion of debt. 10-7 13G filing shows 8,972,148 to be issued upon conversion of new issue of converts.
That is 156,063,185 and the TA showed 163,131,098 o/s today. At .004 that is a mkt cap of just $652k. The shell is worth 300-500k alone. Note 11 of the Q shows over $5 million of tax loss carryforward. That means the next $5 million of earnings is tax free. How much is that worth? Plus they have all of the product formulas on the books for no value.
With 163 million o/s the stock has traded 126.8 million the last 4 days. The float is far lower than the o/s so this dilution was well absorbed.
Just Some Facts
