Encounter Development Technologies Inc. (ENTI)

[Briggsy]

Looking for some insights, without setting anyone off on a Sunday morning. Just trying to better understand a R/S and why they end up so bad for companies and shareholders...MOST of the time!

I understand MOST times it's bad for the company and shareholders. But, ENTI had to increase share structure to get ENTI/MMX off the ground. If ENTI did a 1:50 R/S, assuming A/S is maxed to pay the bills, then the A/S would go from 10B to 200M and current PPS (for calculation purposes) would go from 0.0011 to 0.055 PPS. Everyone's bottom line would be the same, but with a drastic drop in shares and divy's held. Out of the 200M, how much would be left in the float, after everyone's shares were reduced by 1:50?

Would for sure drop the trading volume.

I don't know if I'm really liking the fact that ENTI has brought Ambrose & Keith Fund LLC into the ENTI mix. Anyone have a website for them? I've googled them to the end of the internet and can't find one. I sure hope history doesn't repeat itself, w/ Ambrose's involvement. I've provided a little background info w/ their latest transaction, just to explain why.

Their latest transaction didn't end up so well for those shareholders. Now, they were already on the OTCBB and in the pennies, and their adjusted PPS over the last three months went from $5 to now 0.78 w/ 1:50 R/S.

In a very short period of time I might add:

1 Nov 10: $30M Ambrose line of credit/share purchase
3 Nov 10: Announces R/S plan and filing for uplist to NASDAQ
4 Nov 10: Receives new CUSIP # and files FINRA App for R/S
23 Nov 10: FINRA approval for 1:50 R/S for effective date 24 Nov
24 Nov 10: R/S occured
24 Nov 10: ticker symbol changed temporarily for 20 business days

If history repeats itself, and Ambrose's ENTI $20M is drawn out over 2 yrs like their previous $30M transaction, and a R/S occurs in the future, this endeavor could take alot longer than some folks think. As you can see, this other companies hopes of NASDAQ uplisting is no longer an option (at least at this time) due to the drop in their PPS after R/S in less than a month!

All the best,
Briggsy