Iterum Therapeutics (ITRM)

[leonardo1]

Currently is authorized to issue 150m ordinary shares and 100m preferred shares. Par values is $0.01, which doesn't really mean anything, but that's where you get the $2.5m share capital value. In essence, two of the votes will effectively increase their authorized ordinary shares to 300m. The reason for this, is even though outstanding shares was last reported as 43m, they have over 102m more currently reserved between outstanding convertible notes, warrants, and employee stock options. So per the filing, they actually have less than 5m authorized shares that they can work with. Yes, this is to allow them flexibility to issue more shares in the future. But that's pretty standard to keep a good cushion for that. I would recommend voting for the proposal, because the alternative route of achieving the same thing is an R/S. And the convertible notes have crazy terms if the company defaults.

Copy/past from Stockroket1 on another side I think he explaned it right.. thx