InvestorsHub Logo
Followers 21
Posts 1563
Boards Moderated 0
Alias Born 08/03/2017

Re: la_trader post# 8645

Tuesday, 09/11/2018 6:45:45 PM

Tuesday, September 11, 2018 6:45:45 PM

Post# of 29669
Ok thank you and forgive me denseness on the topic, I’m trying to reeducate myself out of the ‘all dilution is bad’ mentality.

So this 8-K is a good thing for the following reasons (?):
1. Its a vote of confidence in the company by the PE firm buying shares
2. The favorable purchasing prices in the future is again a vote of confidence that they expect the price to be considerably higher in the future or they wouldn’t agree to those increasing purchase prices above current prices
3. Yes more shares being issued, but the company is still at an operating loss so this is the most favorable way to fund that loss while it gets to break even...
4. This could be viewed like a (very) poor man’s version of the Constellation Brands investment in Canopy Grow...?

So investors see this favorable term investment and react positively....how do investors become aware of these 8-K’s? I saw it here on iHub, but not on my TD Ameritrade News for FRLF...(again, sorry, rookie questions)
Join InvestorsHub

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.