Broadside Enterprises Inc. (BRSE)

[Smilin_B]

And that's fair enough tho some post like they know what's coming. I.E. share issuance at 40%-50% discount.

No one here said Chris was going to issue CD notes at a conversion rate discount of 40-50%

I said 50-60%. In fact, it could even be a higher percentage discount. Some CD note conversion discounts are 70-80%

I'll post just a few of them from 2016 that were issued at a price of .00001 (FOUR zero's and a 1) - just so you get an idea of how much of a discount shares get issued at.

Non-Affiliated Investor 9/16/2016 Common 300,000,000 300,000,000 .00001 .00001 4(a)(2)  Restricted Available for Resale 144 Cash
Non-Affiliated Investor 9/22/2016 Common 620,000,000 620,000,000 .00001 .00001 4(a)(2)  Restricted Available for Resale 144 Cash
Non-Affiliated Investor 9/27/2016 Common 104,900,000 104,900,000 .00001 .00001 4(a)(2)  Restricted Available for Resale 144 Cash

Right but you have no idea at what price he will be Issuing the shares. You can only speculate. Last time he issued higher than the bid and higher than the ask. He may have intention of doing that again yet you state like you know what Christopher is going to do. For all we know the Scotti bros cashed out and made money on the loan from .0002 and are willing to do it again. But I don't know this just like you don't know what the terms of the next financing will be

Correct, I do not know WHAT PRICE Christopher will be "issuing the shares" as I have no idea what the price per share is going to be AT TIME OF conversion.

When you state the "Last time he issued higher than the bid and higher than the ask", again, I believe you are misunderstanding what happened there.

That was (from memory) a $62,000 investment made by the Scotti Bros to Broadside Enterprises. They received shares at .0002/share and AT THE TIME when BRSE/EMJI was trading zero x .0001 , that transaction showed extreme bullish sentiment by said investor indicating that his "investment" would be worth far more than .0002 even though he could have purchased shares on the open market for .0001/share. The reason The Scotti Bros didn't simply buy their shares off of the Open Market, is that the proceeds from that transaction would not have benefitted BRSE.

For all we know the Scotti bros cashed out and made money on the loan from .0002 and are willing to do it again.

For all we know?

We know they didn't "cash out" because they couldn't have.

They didn't

It'd be in the filings

It's not

They are stuck and essentially have lost their entire investment here, like others have.

During 2016 and the first two quarter of 2017, the Company raised $413,500 through the sale of common stock in a private placement at a price per share of $.0002. That equates to .20/share post RS.

We are trading at what? .03 now?

Why does everyone think that is?

I think it's important for everyone to understand how convertible debentures work in comparison to the issuance of Equity.

Companies obtain capital by issuing debt or equity. On occasion, they can do a combination of BOTH. CD Notes and Equity issuances are used by companies to obtain the capital they need to fund core business operations.

How can I explain better?

Convertible debentures are not quite as cheap as debt to raise capital, but they are cheaper than equity. I liken CD note holders to be very similar to a loan shark. All they care about is their rate of interest, and when those interest payments can no longer be made, and the note has reached expirey and the full balance isn't re-paid in full, then note holders institute their right ,as an embedded option, to convert to common shares at the agreed upon DISCOUNT when the original loan was provided.

Let me ask everyone this question:

WHY DID CHRISTOPHER WAIT UNTIL both the Framepool AG acquisition FAILED and the Leono African venture folks pulled out, to REVERSE SPLIT the shares?


And if BRSE owned an 86.6% equity stake in Framepool, then how the hell did the company get "sold" to Rightsmith, Inc for an "undisclosed amount" of money? Who did they buy Framepool from if BRSE OWNED majority interest in the shares?

On June 20, 2017, substantially all of the assets of Framepool were sold to Rightsmith, Inc, Los Angeles, by the German insolvency administrator of Framepool, Rolf G. Pohlman, for an undisclosed amount.


Shady as all hell, and there isn't a soul alive that wouldn't agree.

But to my point of WHY Chistopher waited to RS the shares until all that was over?

"We believe that this change of our capital structure is a vital step towards closing our next acquisitions and obtaining the necessary financing for our future success."

A CEO does not implement a REVERSE STOCK SPLIT on the shares, reducing the OS by a factor of 1000 from 8.7 BILLION shares to 8.7 Million shares if he has no intention of increasing the OS by way of discounted share issuances (CD notes, equity or a combination of both).

So - - - why did he RS the shares?

If he's simply going to obtain a conventional bank loan at a reasonable & customary rate of interest, then why RS the shares?

Hey listen, if BRSE can find a NON DILUTIVE way to raise the cash it needs to fund operations and new acquisitions, then I'll be the first person to be BUYING these shares all the way up to .20/share.

But they could have accomplished this without having to RS the stock.

Again, the only reason to RS the commons is if you are running out of shares from the A/S to issue, especially to CD note holders that receive their shares at a supreme 50, 60, 70, 80% discount.

A Reverse Stock Split is basically a RESET button

Unfortunately in 95% of the cases POST split, the common shareholder that holds through one, witnesses in horror as his investment dollars vaporize.

The O/S gets reduced and more shares get issued to fund operations.

That's DILUTION in every sense of the word.

I don't know a better way to explain what happened and the reasons why, than what I just wrote.