Seven Arts Entertainment Inc (SAPX)

[rebel89130]

"we issued to an accredited investor"

why do you say most likely sold into the open market? why would you convert at these levels and then cash out unless you really needed the cash?

i think the exact opposite; i think the holder of the debt converted to common shrs at this point and these prices because they expect a run

i don't think the float increased; share count did, obviously, but i don't think the shares were dumped in the market

here's my conspiracy theory; convertible holders saw the recent spike to $5 + and were royally pissed they were holding convertible debt and not common shrs; they then converted to the common shares, which to me points to good news for longs

ccnverting to common shares now is the same thing as an insider buy in my mine; the convertible holders expect another big run and they want to be in a position to take advantage of it by holding common stock