Desmond, his wife and Larry have major problems in my opinion. They all appear to have traded on inside information.
Mr. Griffin’s trades in the week leading up to an announcement of Glance’s $11 million bought deal on November 28, 2017. Questionably, from November 20 to November 27, 2017 Glance’s CEO — who, as the top executive at the Company, should have been aware of the Company’s largest equity financing in its history — spent roughly $63,750 to exercise options and warrants at prices of 15 cents and 25 cents only to cash out approximately $972,330.
Desmond Griffin
Exercises options:
2017-11-20 – 100,000 @ $0.15
2017-11-21 – 100,000 @ $0.15
2017-11-22 – 100,000 @ $0.15
Exercise warrants:
2017-11-28 – 75,000 @ $0.25
Sells common shares
2017-11-21 – 100,000 @ avg price $1.96
2017-11-22 – 146,500 @ avg price $2.59
2017-11-23 – 23,500 @ avg price $2.77
2017-11-24 – 35,000 @ avg price $2.82
2017-11-27 – 70,000 @ avg price $3.33
Moreover, Angela Griffin, Mr. Griffin’s wife and the Company’s Chief Technology Officer, sold 20,000 shares at an average price of $3.42, on November 27, the day before the deal was announced. If Mr. and Mrs. Griffin were trading as a team, this was never disclosed in any of his insider reports.
“As President, COO, and Director of Glance, I’ve spent the last three years of my professional life doing everything I could to increase value for all shareholders,” said Ms. Green who was terminated as President and COO on February 20, 2018. “But these questions about Mr. Griffin trading securities, ahead of a major financing event are extremely concerning to me and I hope equally concerning for my fellow directors. If my concerns prove to be validated, this could be considered a significant breach of fiduciary duty to act in the best interests of the Company and all shareholders and possibly constitute trading based on undisclosed material information. This could perhaps explain why he has expressed zero concern over the Company’s current share price.”
MORE BIG PAY-OUTS FOR MR. GRIFFIN
During a three month period in 2017, Mr. Griffin continued to exercise options to cash-in. Between September and November, Mr. Griffin exercised 525,000 warrants and options while also disposing of shares for a cash pay-out of $2,337,587.00.
Options/Warrants Exercised Shares Sold Profit
September 0 330,000 $111,950.00
October 0 851,500 $806,190.00
November 525,000 753,500 $1,419,447.00
“If you look at Mr. Griffin’s trading history closely, you’ll notice that he exercised options and sold all his stock as soon as it came off escrow. He’s exhibited a clear pattern of not acting in the best interests of the Company,” said Ms. Green. “All the directors, including Mr. Griffin, never reinvested into Glance to the support the stock. Conversely, I’ve invested close to $1.9 million of my own money into purchasing Glance shares since our IPO - most recently $540,000 at $3/unit in December 2017.”
A CULTURE OF QUESTIONABLE TRADING?
Ms. Green’s analysis has also uncovered some other suspicious trading activity at Glance. Director Larry Timlick also sold shares in the week leading up to Glance’s $11 million bought deal. Overall, he paid $25,000.00 and sold for $140,690.00 for a quick profit of $115,690.00.
Larry Timlick
Participates in a private placement:
2017-10-19 – 62,500 @ $0.40
Sells common shares
2017-11-22 – 1,300 shares @ $2.30
2017-11-22 - 61,200 shares @ $2.25
SIX QUESTIONS FOR THE CURRENT BOARD OF DIRECTORS:
Ms. Green is urging her fellow shareholders to take Mr. Griffin to account for his trading behaviour. Specifically, shareholders should ask board members the following questions:
1. Why was the board not aware Mr. Griffin was trading up until the date of announcement of the bought deal?
2. Was Mr. Griffin kept out of the loop on the impending bought deal, raising questions about his capabilities as CEO, or was he trading with insider knowledge, raising legal questions?
3. Mr. Griffin put the entire $11 million financing at risk by refusing to agree to customary non-trading provisions. Does the board agree that this was meant to cover up his aggressive trades before the impending deal?
4. With this knowledge about Mr. Griffin’s trading history, what steps will the board take to ensure shareholders have confidence in Glance’s management?
AI
