Sphere 3D Corp. (ANY)

[Hugodrax]

Good chance they get there in 1-3 months with a 1-for-10 or 1-for-20 reverse split.

Assuming the company is still around in a few months. ~$50M in debt burning $4-5M per quarter and almost out of money again.

Or maybe they will find a way to restructure / eg try to sell the whole Overland business for $20M, pay off Opus.

Remember Cyrus's bridge loan has to start being paid back in Jan. Perhaps then in exchange for deferring that loan and maybe kicking in another few $M (which would last a lot longer without Overland), they can reprieve their convert down to say a $0.60 conversion price to dilute the heck out of other shareholders. (Would convert to 42M shares or so at that level).

Then they'd be left with V3 and GW, exactly where they were before Overland but with massively more outstanding shares. But then what?

It pretty much comes down to Cyrus IMHO. It would be interesting to see if they are carrying these ANY loans at par.


All IMHO and speculation of course.

IMHO the right thing to do now is a managed liquidation to make creditors at least partially whole.