With all due respect, this is not my understanding. As I understand the events, the 63M float increase may have come from share selling based on CD’s and other shares that were in the pipeline over the past several years. The past filings of FCCN are riddled with CD’s. A “prior” default with GGI unleashed that recent torrent of shares. They claim to have a very small amount of unrestricted-shares left in their coffers...less than 2M shares.
The possibility still exist for GGI/La Jolla Cove to end up more shares…that is if FCCN defaults on it’s current 1.5M CD. However, I see this as a negligible risk since I don’t expect Aero to default on their newly inherited CD. Additionally, it was represented that any stock settlement that might be triggered by a future default would only convert at the prevailing stock price. In this example, if the Aero defaults down the road and the stock price is $1, then they would only receive about 1.5 shares for that $1.5M financing arrangement.
I don’t see the 780M share time bomb exploding if the merger goes thru.
I still see this deal consummating with the post- merger float where it is…and any newly issued stock to Aero as being restricted. I’m happy seeing the 140M float for the foreseeable future.
Just the musings of an old duck hunter from NH…Justin.
Just the musings of an old duck hunter from NH…Justin.
AI
