Ocata Therapeutics Inc fka OCAT

[stockibot]

From the prospectus-

· Each Holder agreed not to convert more than 20% of such Holder’s outstanding principal amount of Amended and Restated Debenture in any month during the period from September 1, 2009 through January 31, 2010, provided, however, that this limitation will terminate if (i)(a) the volume weighted average price of the Company’s common stock for each of 5 consecutive trading days is greater than $0.15 per share, and (b) the trading volume on such days exceeds 7,500,000 shares per trading day, or (ii)(a) the volume weighted average price for any one trading day is greater than $0.20 per share and (b) the trading volume on such day exceeds 10,000,000 shares.


Looks like conversion exception (a) can be met right now:

a) the volume weighted average price of the Company’s common stock for each of 5 consecutive trading days is greater than $0.15 per share, and (b) the trading volume on such days exceeds 7,500,000 shares per trading day,

Date Open High Low Close Volume Adj Close*
Dec 23, 2010 0.23 0.23 0.17 0.20 86,014,000 0.20
Dec 22, 2010 0.26 0.26 0.20 0.22 71,620,400 0.22
Dec 21, 2010 0.24 0.27 0.24 0.26 87,067,900 0.26
Dec 20, 2010 0.20 0.23 0.20 0.23 58,492,300 0.23
Dec 17, 2010 0.18 0.21 0.18 0.20 46,121,300 0.20
Dec 16, 2010 0.16 0.18 0.16 0.18 29,689,500 0.18
Dec 15, 2010 0.14 0.16 0.11 0.16 42,183,400 0.16
Dec 14, 2010 0.14 0.14 0.14 0.14 22,946,800 0.14
Dec 13, 2010 0.16 0.16 0.13 0.13 39,817,900 0.13
Dec 10, 2010 0.17 0.18 0.16 0.16 30,703,100 0.16
Dec 9, 2010 0.15 0.17 0.15 0.17 55,139,900 0.17
Dec 8, 2010 0.17 0.20 0.14 0.15 143,206,000 0.15
Dec 7, 2010 0.14 0.16 0.13 0.16 61,794,200 0.16
Dec 6, 2010 0.11 0.14 0.10 0.13 59,723,200 0.13
Dec 3, 2010 0.09 0.11 0.09 0.11 24,503,500 0.11
Dec 2, 2010 0.08 0.09 0.08 0.09 22,784,900 0.09
Dec 1, 2010 0.10 0.10 0.08 0.08 30,957,900 0.08

http://finance.yahoo.com/q/hp?s=ACTC.OB&a=08&b=17&c=2010&d=11&e=27&f=2010&g=d

My question is regarding the following verbage- "this limitation will terminate if...". Does this mean that once market conditions meet the exception (either a or b) that there will never be any further requirement for sellers to abide by the original agreement not to convert more than 20% of such Holder’s outstanding principal amount in any month? Or, will that agreement come back into play if the market stops meeting the exception clauses?

TIA