Asberry 22 Holdings Inc (ASHI)

[bernardsamuel]

I just quickly read through the newest 8K. Given that the company didn't run profitably in the third fiscal quarter (especially after considering interest expense), it's no surprise that the Typenex/Iliad loan was restructured again. At some point in some loan document, there was a clause regarding how the lender could not wind up owning more than 5% of VHUB's issued common shares, and at the moment I'm not figuring out how the conversion of some debt into common stock didn't take Typenex over the limit. ...unless they unloaded a bunch of the 916,000 shares they had picked up earlier, which is altogether possible.

I'm not saying that it's dreadful that Typenex is getting more of a vested interest to see VHUB succeed via Typenex's share-ownership, but when I read the clause in the 8K about how the next conversion will be done using pricing at 70% of the lowest three days in the past month of trading in the stock, I think that it's not unfair to use the term "dilution."

I'm looking forward to seeing the commentaries of wiser analysts who frequent this board. But just going back to basics, perhaps the company will explain how the sales forecasts of around a year ago for some conference - showing explosive sales growth - have turned out so far to be way too optimistic.