Ariel Way, Inc. (fka AWYI)

[jonesieatl]

Hi goprsugo , just saw the 8-K

I don't know anything about Ariel Way other than they are a Yorkville client , while they're not in my iBox Table A they're in a Master List I have which includes an additional 100+ Yorkville clients , and I noticed yesterday's 8-K

Coincidentally to your mention of NEOM I was about to copy/paste a couple of those default and forbearance clauses to show fellow NEOM shareholders (yes, I have my sign lol) how these situations can continue to devolve.

NEOM went on what can only be categorized as a 'high interest rate credit card shopping spree' a couple of years ago when they bought Mobot, Gavitec, 12Snap and started to buy HipCricket.

While the HipCricket deal was nixed, the owners of the other companies traded their companies for some cash and a lot of shares of NEOM stock.

(Some of those companies had revenues.)

The cash for the purchases came from Yorkville (at those really swell terms they offer) and the share counts were put in the contracts at a time when NEOM was trading in the high .30's and low .40's as I recall, and when 'some folks' thought NEOM had prospects of a PPS heading on up to a buck or higher.

As you may recall, those purchase deals had (crazy?) 'floorless' provisions in them , in that the purchase price of each company was guaranteed to the sellers. Of course NEOM's share price dropped , and at the same time the contract shares were not registered in a timely manner.

When the shares were finally registered the PPS was a fraction of its former self. NEOM was forced to sell all those companies back to their original owners in renegotiated deals which required NEOM to a) give them a lot of additional cash (again provided by Yorkville via additional toxic financing instruments) and b) give them tens (hundreds?) of millions more shares in order to 'make whole' those companies' sellers per the original contract terms.

(Even after all of that NEOM is currently in default on $4.xMillion bucks it still owes 12snap in the re-do of their contract.)

So, end of story, just thought I would offer it. Aspects of that debacle may or may not apply to AWYI , again I don't know much about AWYI but you guys do.

I guess the key thing related to your comment is that at one point in time those companies' owners gave NEOM their companies for stock (and cash) and those 'floorless' contracts may have been the result of them having done their own DD on the prospects of NEOM's share price .... or maybe they got lucky .... or maybe the entire thing was structured to result in Yorkville currently owning 80% of NeoMedia and having the additional prospect of owning up to 96% at last week's PPS if for instance they got a 1:1000 R/S done so that converting all of their death spiral instruments into shares would still result in an outstanding share count less than an unchanged Authorized Shares count.

Again, could be apples/oranges, just FYI.

regards,

jonesie