BlackStar Enterprise Group Inc (BEGI)

[lordboozio]

Question on the O/S, sorry if this was already covered and I missed it.

Per BEGI’s Q1 10-q, ~53 mil O/S as of 6/20/20. Per otcmarkets.com, ~60 mil O/S as of 7/2/20. So +7 mil shares in around two weeks.

The O/S is still attractive, I just can’t tell where the new shares came from (and, therefore, whether to be concerned about more dilution). Per the last Q, if my math is right, convertible debt outstanding amounted to around 1 mil shares.

My suspicion is that the new shares came from parent company IHG’s conversion of preferred shares. As of the last Q, IHG held 1 mil shares of pref stock convertible to common at 1:100.

I could be way off here but just curious to hear some other perspectives on what’s happening.