If it works the way I'm hoping, you can look at it as sort of a merger.
That is Marquee Brands merging with the empty DESTQ shell in order to become a publicly traded company.
In that case, the DESTQ ticker will be cancelled and replaced with a new ticker, let's say MARQ. DESTQ shares will be cancelled and replaced 1 for 1 with MARQ shares. Then Marquee Brands can buy MARQ shares for whatever amount of money they want to put into this new public company (MARQ). However, in order to keep the NOLs valid, Marquee Brands would not be able to buy enough shares to hold more than 50% ownership in the new company (MARQ). That means Marquee Brands could not buy more than about 14.3M shares of the new company stock (MARQ). Depending on how Marquee Brands want to organize the new company they may want to put in just a few million dollars into the new company, and keep the rest of their cash for other purposes.
Trying to estimate how much cash Marquee might want to put into buying MARQ shares is just a guessing game currently. In fact, they may not even have to disclose that info in the POR. They might just wait until FINRA completes the name change and share exchange. Once this has been completed, Marquee could announce how many shares of MARQ they will be buying and at what price. My guess (and its just pure speculation) is that they could buy 14M shares for something like $.10 to $.20 per share. Once the public realizes what Marquee Brands owns and what their annual revenues are (I've seen numbers as high as $3B in revenues from all of their Brands in total, including revenues they are getting from Destination Maternity), the share price for the new stock could easily go over $1.
In this scenario, its win-win for both current DESTQ shareholders and the new MARQ shareholders.
This is just my own "wild" scenario. Please take it for what its worth. Just wild speculation!
AI
