So you are saying they increased the O/S 7-8% in a matter of weeks, but they didn't really have to if they didn't want to?
They diluted the value of everyone holdings by 6% or so for some unknown reason and they didn't even have to? Lovely!
Keith has stated that when restricted shares are used it's done at a 5 day running average of the share price. I can't find the reference so that is hearsay. Regardless, any shares used at anything below FMV is dilution plain and simple because less shares could have been used in those cases if we were fairly valued. The more undervalued we are, the worse the dilution is in every share that increases the O/S.
It doesn't matter what HMGP receives in return for those shares, because we could have gotten the same thing using lots less shares if we were even close to FMV.
We could easily have a O/S 45M if we had been using shares at FMV, IMO. Our investment at buyout could be 50% higher that it will be. Instead Hemi issues more shares for whatever reasons at values extremely below FMV and lowers the potential PPS at buyout. In my mind this is exactly what your MM's want. Looks to me they are winning.
