Within a week or two the numbers on Q1-FY2011 will be out. As most of the time this probably will be a non-event. Q1 of last fiscal year only brought 2 Million in net-income, they must be able to beat that this time.
What might cause some movement is the expiration of the $5 Million debenture on Nov 30th.
Below the first few lines from the deal (share-numbers to be divided by 40 because the deal was made before the reverse-split):
On November 6, 2007, Genesis Pharmaceuticals Enterprises, Inc. (the “Company”) entered into a Securities Purchase Agreement with Pope Investments, LLC (the “Investor”) pursuant to which the company, on November 7, 2007 (the “Closing Date”) issued and sold to the Investor, for $5,000,000 (a) 6% convertible subordinated debentures due November 30, 2010 (the “Debenture”) and (b) a three-year warrant (the “Warrant”) to purchase 10,000,000 shares of the Company’s common stock, par value $0.001 per share, at an exercise price of $0.32 per share, subject to adjustment as provided therein.
The Debenture bears interest at the rate of 6% per annum, payable in semi-annual installments on May 31 and November 30 of each
year, with the first interest payment being due on May 31, 2008. The initial conversion price (“Conversion Price”) of the Debentures is $0.25 per share. If the Company issues common stock at a price that is less than the effective Conversion Price, or common stock equivalents with an exercise or conversion price less than the then effective Conversion Price, the Conversion Price of the Debenture and the exercise price of the Warrant will be reduced to such price. The Debenture may not be prepaid without the prior written consent of the Holder.
AI
