Aquagold International Inc (AQUI)

[Lochan]

Yes, the issuance of shares does dilute the value of each share previously issued. Rule 504 allows for the issuance of shares over the course of one year to raise up to $1M. The Company has received $65,000 thus far, and this was used to reimburse York Tang for marketing expenses already incurred. I think we will find out soon enough how many shares were issued for $65,000.

Great companies have public offerings of shares to raise capital for expansion. This is done in the normal course of running a business. Shareholders generally realize that this cash inflow will come back in the form of increased earnings
which raises the value of all common shares.

In the case of a 504 placement, the amount received from individual investors is generally $30,000 or more. It is not looked upon as a public offering because the total amount to be raised is limited to $1M and may be even less than that, and the number of investors participating is similarly limited.

Instead of crying "dilution!", consider the return that will be produced for the Company by using the cash it receives from the sale of these additional shares.