Winning Brands Corporation (WNBD)

[lightbeam]

I wonder if this is why we have been getting hammered here. Will be interesting to see how this all plays out. How long will it take?

As previously reported, we are preparing for SEC registration. Part of this preparation involves organizing bridge financing to cover the end of 504 financing that follows an S-1 application. The next Form D filing is likely to be the company’s last. After this, if the registration is approved, then the firm will have access to conventional capital financing associated with an elevation of the company’s stature following registration. Furthermore, positive business developments this year are likely to produce a significant lift of sales in 2012. This will be noted by many people who are already aware of Winning Brands and watching for concrete signs that the company is making real progress. Stock promotion “investor awareness” is not appropriate during an open 504 and S-1 registration application period as it sends mixed signals to the regulators regarding the company’s true intentions.
http://www.winningbrandscorporation.com/blog/

Bridge financing is a method of financing, used to maintain liquidity while waiting for an anticipated and reasonably expected inflow of cash. Bridge financing is commonly used when the cash flow from a sale of an asset is expected after the cash outlay for the purchase of an asset.[citation needed] For example, when selling a house, the owner may not receive the cash for 90 days, but has already purchased a new home and must pay for it in 30 days. Bridge financing covers the 60 day gap in cash flows.
Another type of bridge financing is used by companies before their initial public offering, to obtain necessary cash for the maintenance of operations. These funds are usually supplied by the investment bank underwriting the new issue. As payment, the company acquiring the bridge financing will give a number of stock at a discount of the issue price to the underwriters that equally offsets the loan. This financing is, in essence, a forwarded payment for the future sales of the new issue.
Bridge financing may also be provided by banks underwriting an offering of bonds. If the banks are unsuccessful in selling a company's bonds to qualified institutional buyers, they are typically required to buy the bonds from the issuing company themselves, on terms much less favorable than if they had been successful in finding institutional buyers and acting as pure intermediaries.
There are two types of bridging finance. Closed bridging and Open Bridging.
Closed bridging finance is where you have a date for the exit of the bridging finance and are sure that the bridging finance can be repaid on that date. This is less risky for the lender and thus the interest rate charged are lower.
Open bridging is higher risk for the lender. This is where the borrower does not have an exact date for the bridging finance exit and may be looking for a buyer of the property or land.

http://en.wikipedia.org/wiki/Bridge_financing