I hope you're right. It's a big adjustment, the paradigm shift from DR keeping the O/S low and paying the bills out of pocket to the quick issuance of 25 million new shares.
I am a bit confused: if you were a money lender thinking about a slice of the LTC pie, wouldn't you want the trip to the Ukraine for a look/see before you ponied up the money? Why accept 25 million shares and then go to the Ukraine to see what you've invested in?
3 answers come to mind:
1. The 25 million shares are but a down payment on the $$ that CTGI hopes to raise from this investor. In essence, the 25 million shares at an unknown price (to us) are what CTGI has to pay just to be taken seriously. Last I knew, the A/S here was 100 million shares, so as we currently stand, there's a limit to the money that CTGI can raise through dilution. (preferred notwithstanding)
2. The actual PPS of the offering is so much lower than the current PPS that the investing company decided it was worth the risk. Other lenders in the past have had great success making money from CTGI even as the company has floundered.
3. Everything is fine and the fact that we have a pink sheet company that is not obliged to disclose details or material events (except when insiders buy shares) is just paranoia on my part.
Other questions worth discussing:
1. How much does it cost to roll out a medical device like LTC? (advertising, production, trade show attendance, luminary sites, employee wages, PR, etc)?
2. How much does the company currently owe? The BOD made it clear in the last PR that one reason they wanted to raise money was to take care of debts.
It's a busy time. Looking back at the time when we all wished we had sold for better than $2 a share, it's a shame the company itself didn't sell shares then. Our collective holdings are a pittance compared to the 25 million that just walked out the door.
