The R/M will be executed once the CCAA proceeding ends by LCY private subsidiary into the bankrupted shell BIOAMBER after all the assets have been liquidated to pay debts.
If, that be the case... all shareholders regardless of amount held, could survive this. The only question is, do they Reverse Split or Forward Split this and at what ratio, OR just use the same share structure and A/S.
Considering LCY has not issued any stock, common or preferred but, accordingly appear then to be using BioAmbers share structure and rights.
The shares have been accumulated since the approval of the transaction and have been locked by Netherland, Switzerland and Taiwanese institutional investors for the sake of LCY to utilize the NOLs that have been accumulated by the bankrupted shell over the years. Since LCY going to continue the same line of business.
So the presumption that NOLs are the target and the use of them is an ulterior motive, and the by conducting a R/M since LCY will take control, it is clear that this may be a long term hold, especially if the trade off is a 1 to 1 exchange.
The only reason why BIOAQ is where it is now is due to the delisting and money management issues. Should LCY revive the company and start running the plant, having stock is one way of drawing in investors without utilizing money out of pocket.
Having reached a high of 15.29 before they got into trouble. Maybe a sudden life-style change caused more spending and having fun than actually doing business... just saying.
Now the question is... If this does do a R/M, starts trading on the open market... what would the pps be? Let your imagination run....
AI
