Nephros Inc (NEPH)

[thecon00]

Best simple explanation of rev. split i've seen

You will have roughly 1/2 the shares you have now, but the O/S will only be 1/4 the size it is now, effectively giving you 2 times as many shares when compared to the O/S, but 1/2 of everyones shares will be tied to warrants which are not borrowable, transferable, or shortable.

many cant see why this kills shorts but this explanation does a nice job of showing why that is so. i felt the same way the very first time i read the offering. i saw it as and attempt to keep or even slightly improve a true long, and also lambda's percentage of ownership in the company; while at the same time drasticly reducing the publicly traded float. all those who are calling this dilution and running their mouth really have no idea what is going on here. this was a well though out offering and the first one i have seen like this. yes i have participated in rights offering in the past. I feel strongly that this will work out in the best interests of all shareholders including wex/lambda if you fully subscribe.

-con