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a r

Re: Bthe1 post# 12888

Wednesday, 03/16/2011 9:43:43 PM

Wednesday, March 16, 2011 9:43:43 PM

Post# of 95241
heres a link on some basics with respect to a/s, o/s, restricted and float.
http://www.investopedia.com/articles/basics/03/030703.asp

anyone correct me if im wrong, but i believe the a/s is going to be increasing to 300,000,000 when the merger is complete.

i believe they key resides in not just a/s, as you should always look at the o/s as well. if a/s is much larger, then o/s, the a/s could be used to dilute the share price(same company, same total intrinsic value yet more shares oustanding) like in a penny stock scam. if the company is looking to raise more funds, it could also increase the o/s.

if i remember correctly from the DD, some of the new a/s will be towards Rudana and Seawind.

most companies maintain a set a mount of a/s in the holster should it be needed at a later time. i believe there is also a reason related to hostile takeovers, but that shouldn't come into play here.

however, since we have a solid stock here, and the fact theyve been able to secure 50 mill in financing before the merger is even complete, i dont think it will be an issue.

there is a sticky from a few days ago, march 12 i believe, with a valuation completed inside. (http://investorshub.advfn.com/boards/read_msg.aspx?message_id=60882406)

the valuation shows the potential range for share price with direct relation to o/s.

hope this helps.
and if not, im sure someone else on the board will be able to clarify further.

looking forward to end of week, wonder where we head into the weekend at.

just tell the truth. if you hate me, tell me. either way, it's cool.