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Re: Peddler22 post# 88394

Thursday, 07/27/2017 6:26:19 PM

Thursday, July 27, 2017 6:26:19 PM

Post# of 183214
As long as there continues to be buying interest...and it will ultimately have to come from new buyers at some point...then the dilution can be counteracted.

But it ALWAYS has its limits as the OS will continue to climb...and raising the AS again above 10 billion can certainly kill that "buying interest"...but unfortunately the dilution can continue...right down to the bottom.

Is there is risk of that soon? Doesn't appear so. But they have to TANGIBLY reduce their convertible debt and any convertible equity....and there is ZERO indication that is happening...in fact quite the opposite from what we saw in the FY2015 10K "Subsequent Events" section.

Right now the hope is that all that new debt can be "paid off" with some new "$100 million" deal or $6.1 million in a 'receivable' that they are going to apparently have to go to Court to get...and that could take years.

And that's a problem in its own right because the moment they do become current, the outstanding convertible debt (to the tune of $1.2 million) can now convert.