Esyn & all
Selling warrants is not debit. There is no note due! Warrants guarantee the buy back price, when the investor exercises them. This is a stock deal!
While this deal is not an "A typical" warrant deal, it is better then actual debt. IMO Warrants are more like being in the middle of the funding deals available.
Restricted stock deal, the best, warrants next, and a actual note, the last preferable funding.
The main problem with this deal, IMO, is NO hold time mentioned. They can exercise any time over 5 years. OZ had to give allot, to get this! But he has always given allot in the past. And retail ate up the delusion when needed. No reason things will be different this time. IMO Munchkins will buy shares, during up moves, when these warrant shares reach the open market, when ever that time is and we'll not event notice it happening.
http://www.investorshub.com/boards/board.asp?board_id=3972 Welcome to my mind! 
