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Re: DMN post# 85600

Monday, 03/28/2016 11:17:01 AM

Monday, March 28, 2016 11:17:01 AM

Post# of 232836
I'll write/speak for myself only ... The deal accomplished the main goal for LQMT: Stay in business. Let's face it, this deal could have happened at any time - with him or someone else, but it happened about three weeks from LQMT having no cash on hand to keep the lights on.

The deal came with massive dilution. Both of these things are inarguable.

I don't know what Li's intentions are and/or whether LQMT ever benefits from this in any meaningful way.

But I do know this, as stated previously -- no one should mistake an investment that gives the investor free shares to trade at will, with no restrictions at all, as meaning that the investor is financially committed to making the product and/or companies work. He can double his money and have LQMT go bankrupt, never sell another part, etc. And he can do that a lot quicker than it will take for LQMT to make serious profits from any change in business. His deal, as structured, is a horrible financing deal for LQMT shareholders with the POSSIBILITY it can benefit them in the long run. But make no mistake; he can make his money back and moreso without doing a darn thing for LQMT.

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Total Trades:
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  • 6M
  • 1Y
  • 5Y
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