Tuesday, March 09, 2010 10:08:22 AM
This is ONLY A GUESS/HYPOTHESIS!! Discussion/comments welcome.
OK, it is a fact that they used shares to buy up some companies to form present day MRNJ. Upon completion of those acquisitions, the sellers held large chunks of MRNJ.
Presumably the folks selling the companies were not savvy enough to impose anti-dilutive restrictions (because we are certainly seeing a lot of dilution!). So, one simple way for management to regain control and ownership of the company is simply to dilute the former owners' share ownership to smithereens.
I've been thinking all along that mgt is just hugely inept about share structure. But now I am rethinking this. Maybe they really are exceedingly savvy and ruthless. They used scarce shares to finance acquisitions. Then they capitalized the firm and pushes the former owners to the curb by selling a TON of shares.
Eventually -- once they are done diluting -- I would then expect them to award themselves a large chunk in one last massive flurry of dilution. Then they can award themselves as many shares as needed to give themselves large ownership percentages.
Nice job if they can do it and get any sleep at night. I wouldn't have the stomach for it.
This company has great technology from what I can tell. But if I am correct, then one must wait until one sees management award themselves large blocks of shares. Only then will management's incentives be aligned with those of shareholders -- because clearly that quaint concept of "fiduciary responsibility" isn't getting us much traction.
Wadi
Recent MRNJ News
- Metatron Apps Unveils "Dr. AI" Health Assistant for Personalized Health Support • InvestorsHub NewsWire • 01/23/2024 01:23:40 PM
- Metatron Pioneers AI-driven Content Discovery and Issues Reverse Split Moratorium • InvestorsHub NewsWire • 12/12/2023 04:59:50 PM
- Alternative to AI-Powered Apps As ChatGPT Pauses Signups • AllPennyStocks.com • 11/20/2023 03:00:00 PM
- Alternative to AI-Powered Apps As ChatGPT Pauses Signups • AllPennyStocks.com • 11/20/2023 03:00:00 PM
- Firm Pioneers AI-Powered App with Real-Time Stock Insights • AllPennyStocks.com • 10/30/2023 06:30:00 PM
BARRON'S COVE to Premier at the Hamptons International Film Festival • APHP • Sep 30, 2024 2:56 PM
Lingerie Fighting Championships Signs Broadcast Deal With Maybacks Global Entertainment • BOTY • Sep 26, 2024 9:00 AM
Maybacks Global Entertainment and Lingerie Fighting Championships Enter Into Broadcast And Revenue Sharing Agreement • AHRO • Sep 26, 2024 8:30 AM
North Bay Resources Commences Operations at Bishop Gold Mill, Inyo County, California; Engages Sabean Group Management Consulting • NBRI • Sep 25, 2024 9:15 AM
CEO David B. Dorwart Anticipates a Bright Future at Good Gaming Inc. Through His Most Recent Shareholder Update • GMER • Sep 25, 2024 8:30 AM
Cannabix Technologies and Omega Laboratories Inc. Advance Marijuana Breathalyzer Technology - Dr. Bruce Goldberger to Present at Society of Forensic Toxicologists Conference • BLOZF • Sep 24, 2024 8:50 AM