Ngen Technologies Holdings Corp. (fka NGRP)

[Offshore_Angler]

This is from Det Thorn Post!


Setting up for buyout or big(ger) dilution conversions

Last night, LIBED's former CEO wrote a cryptic post that, IMO, implied that the reason for the Series X conversion was that NGEN/LIBED was going to be acquired.

While that is a possibility, considering his history as LIBE's CEO, it should be viewed skeptically.

One other possible reason for the Series X conversion and this subsequent pump is that the convertible debt holders can now convert many more shares per day than they could before the conversion.

When there were only 1.86M outstanding shares, they could only convert 93K shares/day without hiting Reg 144 limitations. With 35.7M outstanding shares, that limit rises to approximately 1.78M shares per day.

With some kind of news and the higher price, they might be able to dump 1M-2M shares over a period of a couple of days at a conversion price of say, $0.70, which would reduce the convertible debt by $700K - $1.4M.