So, just out of curiosity, what % of an empty corporate shell whose only asset was another empty corporate shell would investors want to invest actual cash into the company? Of course, since Michael Matvieshen gave 40 million shares to Michael Matvieshen (around 60% of his company (SLMU)) in order to purchase 100% of $1 and an otherwise empty corporate shell (the Power Fund), I don't know I would want him negotiating with someone who actually had something of substance, like cash, to bargain with.
However, there are two other VERY important considerations you overlooked. If NMSEC investors decide to invest anything in this empty corporate shell, they won't be doing it for nothing in return.
Suppose they invested at a normal rate (for a company that actually has something already) of 50% of the current bid which would be around say... $.03. And say they didn't invest $80 million.. but only say $5 million. The company would have to issue them around 167 million shares, putting the total outstanding over 243 million.
The good news of course is, that funding would be accretive as the book value of the shares would skyrocket up to almost $.02.
Still, I think it would be a stretch to expect Michael Matvieshen to demand $.03 a share for the shares and I also think it's silly to think that investors would put real cash into an empty corporation for anything approaching a market cap of close to $2 million. It's anyone's guess how Michael Matvieshen is going to find the cash to pay Michael Matvieshen for the assets in his private company.
And the last thing I would want Michael Matvieshen doing is negotiating with Michael Matvieshen to invest his own cash. I don't know how many more deals like the 40 million for $1 plus $87500 in debt and a corporate shell that cost a few hundred to register, the shareholders can take.
As to the big IF.. as in "IF NMSEC investors invest in SLMU", it reminds me of an old saying... "If my aunt had balls, she'd be my uncle."
AI
