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Re: Jim Bishop post# 5023

Wednesday, 01/26/2005 12:38:08 PM

Wednesday, January 26, 2005 12:38:08 PM

Post# of 123598
Jim they could pledge their MLON shares as collateral for financing, as we know it is a fairly liquid market. Let's say they give them $30MM worth of shares, do not make me do the math on this because it is a pile of shares at the current price. So the bank or financier has the shares and MLON get the cash then they finance other business and charge them fees at higher rates then they are getting charged themselves.

Not sure If I have ever seen this before but it is a possibility.

then after MLON has recaptured there original cash they lent out then they pay back the bank/financier and retire the sahares encase they require them again.