Rennova Health Inc (RNVA)

[T-Hawk]

I would also want the company to use the A/S to create cash for growth, but I don't see that being the intention for the R/S. In a recent PR the CEO indicated the increase in A/S and/or R/S was needed to cover already issued debt obligations.

I guess it's all in how you foresee the company using the available share after the R/S. If you think they'll use it to buy more hospitals and increase assets and revenue, then yes the R/S is a good thing.

If you think it's going to be used a way to pay off current debt, your ownership % will be decreased along with the value of your remaining shares then it's not such a good thing.

If past history is any indication of future behavior, debt reduction through dilution is the most likely outcome.