Enzolytics Inc (ENZC)

[foxi]

I agree, that's a potential flag. But I don't see how they can do conversions if they have already exhausted their Authorized. They can't increase O/S above A/S and here are the numbers currently (03/08/2022)

Authorized Shares
3,000,000,000

Outstanding Shares
2,797,935,953

Restricted
451,289,585

Unrestricted
2,346,646,368

Float
2,141,602,954

https://www.otcmarkets.com/stock/enzc/security

If I'm reading that right, only about 200 Million new shares can be created out of thin air (the difference of O/S and A/S). There are about 200 million Unrestricted not currently in float (ie currently held by people who had them flipped to Unrestricted, still potentially to be dumped.)

ENZC insiders could make bank if a later restructuring lets them or others convert the preferred Series to Common and sell. They stand to personally benefit in an acquisition since they'd need to be paid the market value for their conversion value. (If I was pumping this ticker, I'd point to the existence of Series B in the hands of the Main 4 as evidence of a potential acquisition in play. Except these were issued in December 2020 so it's been quite awhile.) They could also swap these preferred shares around to help cement future partnerships, etc.

All subject to market regulators of course.