CBA Florida Inc. (fka CBAI)

[deseng]

Honestly I don't find the position that CCEL wants to own stock very compelling. The total purchase price is $17.8 million, plus the absorption of up to $5.5 million in liabilities... and of that money, CCEL will allow payment of only $125k in CBAI stock. Even if we only assume a total cost of 17.8 million, that's less than 1% they'll accept in the form of stock. At current prices, $125k is ~32 million shares: which equates to about half a percent of ownership in the company. Combine a few people on this board, and you'll easily exceed that amount. It just doesn't seem to me like they want a whole lot to do with CBAI.

This also has me pretty worried:

A second material condition is that Cord Blood immediately amend its Articles of Incorporation so as to create sufficient authorized but
unissued shares sufficient to provide the ability to issue new shares for the new capital required by it to complete the transaction.

I know people want to believe it means a buyback, and that could certainly be good for the pps, but something in my gut tells me it means they're going to try and authorize more shares. Which scares me, and I hope I'm wrong.