Mexus Gold US (MXSG)

[T-Hawk]

There's a few thing to unpack from today's PR.

First, none of this is reality until a 10-k, 8-k and/or pre 14c are filed. I don't know all the legal ins and outs, but would imagine the company has to be up to date on filings before any other reverse splits etc can be completed.

Assuming we get to that point, when PT converts his preferred shares wouldn't he still be majority shareholder? Therefore the language about shareholder approval needed for the R/S and Authorized Share reduction is a mere formality?

The company is admitting as soon as the reverse split and authorized share adjustments are all completed, there will be a need to sell stock (dilute) to raise money. Buying shares now makes no sense on any level. In addition to encountering a brokerage admin fee for the R/S the current value of the shares will be diluted - possibly where they are diluted to 1/5 of their post reverse split value.

I get that those who had notes are in a place where they had to convert to shares or else they certainly faced not having anything. But in what situation would it make sense to purchase any more shares prior to the R/S?

One possible silver lining, is reducing the authorized share cap to 250 million. That is a more reasonable cap than 4 billion. I still think uplisting is a pipe dream, but it is certainly plausible with a 250 million cap. It wasn't ever reality with a 4 billion authorized share cap.