Ok, that's fine, and you're right, can't get much worse than the setup from the bankruptcy.
The thing that everyone should keep in mind is the company had the opportunity to really restructure the debt and the equity in the bankruptcy, and while that wouldn't have been great for the folks who owned the stock before the bankruptcy was filed, the company could have come out in a lot better shape with less debt and equity to provide that wasn't horribly diluted for an investment. Instead the unsecured creditors made a profit off of loans that are typically given a little bit of cash or equity if anything at all. Auctus (or someone with warrants) has moved about 500M of those warrants into the market on cashless exercise, which means the company didn't get any cash from them.
The new deal with Auctus will be critical in selling the units. Folks who buy these NASDAQ offerings are good at real due diligence, stories won't matter, they'll look at the numbers to see how much company they're buying with the money. If they smell a rat, they'll offer less if they choose to play at all. They're not in for the long run, they're just analyzing to predict the right at which they can ensure a profit on the total unit. NASDAQ!!! may be a good pump on the OTC, but the reality is the story, fluffy PR's, advisors, conferences, etc., no longer matter. Business performance matters, period. Business history will also matter, the recent bankruptcy will matter.
When they get closer to real numbers in that S-1/A, recommend reading it carefully.
I swear I’ll never use the phrase “you can’t make this stuff up” ever again after being on the OTC. Apparently you can.
