Muscle Pharm Corporation (MSLPQ)

[Madcowelixir]

30% of the pre-convert OS are owned by Wynnefield and White Winston and they are not interested in .70c tender. Wynn is still adding at a basis of $4 and WW is holding at $2 and has shown they are willing to sue. Very dumb and unsophisticated post on potential tender. This is Ryan injecting necessary capital as MSLP has no cash left and still owes 2 shylock lenders that hold inventory and receivables as collateral. This shows there is no lenders interested in MSLP and Ryan must fund the liabilities himself to temporarily stave off BK which really has already occurred. Ryan personally guaranteed the two the shylock lenders and this $18m is going to them. What likely happened is the two lenders exercised their right to call the notes due immediately and Ryan was forced to cover or have the inventory confiscated.

A little caveat is Ryan was nearly voted out in last years shareholders meeting and Wynn has purchased enough shares recently to tip the vote. Ryan needed to convert or he would have been voted out soon. This should clear up the balance sheet and cut the horrific 18% interest expense on the debt. MSLP's accounting firm quit due to revenue reporting fraud so that fake $100m in annual rev is clearly over-stated.