SunWorks Inc (SUNWQ)

[SandridgeEnergy]

There is only one that the warrants don't expire worthless: A capital raise.

A capital raise of any size will reset the price of the warrants to the price that the raise occurs at. Because of this any capital raise will suck big time for normal longs.

But by resetting the conversion rate of the warrants it gives them a chance of not expiring worthless.

Too much dilution has happened for the stock to get to the conversion point normally. The implied probability of it happening if you look at the price of the warrants is basically 0%. Only the most reckless gamblers are buying warrants now.

Anybody telling you to buy them probably already bought them and wants to sell them to you.