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Tuesday, 06/30/2020 11:34:01 AM

Tuesday, June 30, 2020 11:34:01 AM

Post# of 40010
15 years ago i worked at a hedge fund that did equity financing deals for smallcap companies with marketcaps under $250M... I quit in less than 6 months because most of the companies we worked with diluted their stocks to death and pretty much raped shareholders while the CEO's kept the profits. Thats why i quit. The way the deal was structured was we if a stock traded $100K a week, we could allocate them about $20K in equity in exchange for about 40K in stock, so if a stock was trading at .01 and had $100k a week in volume we'd allocate them $20K in exchange for 40k shares at .005. We typically did this via 504 or S-1 financing..

My question with CNNA is, how could they be dumping so much into the market currently while the volume was so low beforehand? Have the rules changed? This stock has virtually no volume for a long time now the dumping is 10x volume we've seen. Anyone?