OMID Holdings Inc (OMID)

[Toxic Avenger]

It's the toxic debt. The only cash they can get is exploiting the toxic loophole where someone "lends" them money (wink, wink) with both knowing it will never be paid back because the company will never generate cash.
The terms allow the lender to convert the debt and interest to shares at a discount to the market price, or often even lower (the closing bid, or the lowest price over the previous x days).
The lender then dumps shares to retail at the market price and covers from the company at a 50-90% discount. The spread is profit and the loan is only reduced by the discounted amount for the shares from the company.