Optec International Inc (OPTI)

[simon song]

I now understand why the company went into “Alternative Reporting” status back in Feb, 2019.
First, I thought they were trying to save on expenses that they incur to keep on being SEC reporting.
But going back to their news and filings, i found out they did that so the “restricted” shares cannot convert into common shares and flood into market, hence affecting the pps negatively. So they did this in the means of protecting the shareholders value.

Because by company becoming non SEC reporting, the legend extends the limit of holding period from 6mo to 12mo, before the restrictive shares can resell to public.

link to voluntarily withdrawing from SEC reporting

link to terminating former TA for removing the legend for some “restrictive” security holder, therefore making it possible for some security/warrant holders to sell their “unregistered shares” into market

If the company that issued the restricted securities is a "reporting company" (subject to the reporting requirements of the SEC), the holding period is at least 6 months.
If it is not a reporting company, then the holding period is at least 12 months.

link to rule 144 explained

Also note that, whomever was lifted of “restrictive legend” due to TA’s mistake, can only dilute 1% of total O/S in 3-month period. I saw 230,000 T-Trade on past Monday, and another 230,000 on Wednesday. That indicates the O/S should be now 23,000,000.

In company’s recent communication, CEO mentioned the debt is being paid off.
I strongly believe he minimized the conversion by doing the above, and got himself 6 more months of time to pay the debt off, instead of conv notes converting at a discount rate flooding the market with shares.
Also, he said the company anticipates to become SEC reporting again very soon, which also means the debt is being paid off, therefore, no need to stay non SEC reporting anymore.

We are in good hands