We all know that there is dilution from conversion and it seems to be still on-going. But today, there were alot of organic retail sells from us regular investors that lost patience and faith in the company, which I can’t blame.
How convertible notes work is really hard to understand totally.
But most of conv notes company has outstanding and matured have a “discount” term that goes something like this
“42% discount of average of lowest 2 trading days of prior 15 days”
It is my understanding sometimes MM’s are hired to manipulate the pps down so that those note holders get a better discount and much more shares for the same buck, compared to what they would’ve had if pps was at a normal/fair price.
Now, those note holders that converted into shares do not sell the shares into market right away. Rather, they wait until mm’s drive it up much higher before unloading. By doing this, for $50,000 they lended to the company could easily profit 2-10x their investment.
OPTI’s low float share structure is a huge negative when it comes to manipulation explained above, because mm’s can drive the pps up and down like a ragdoll with the littlest effort.
And the company NOT filing on-time as promised, is certainly giving the mm’s a BIG helping hands.
Regular investors including myself can’t do much about this illegal activity. We will have to depend on the mm’s to finally get done with it.
I, myself, is still waiting for this to shoot back up to where it should be.
Even if whole 3mil volume was dilution let’s say, the pps should only decline by 10% not 30%.
I am not promoting or encouraging anyone to buy anymore.
Just posting my thoughts on this.
GLTA
