Power???
no offense, but where have you been?? The S-3 filing is like the 10th amendment to the original registration filing last year for the $15M the DBH (debenture holders) gave CTC last year. This is so way old news Im shocked that you are surprised by it. The SEC still hasnt approved the filing, this process can take a while especially when companies like CTC have material events (BK) that force an amendment. I hope this is the final amendment as it appears nothing other than the bk is in the amendment. Once the amendment is approved the shares are registered allowing CTC to force the DBH to convert the debt into stock at $3.34, should we get there. One of the reasons for the bk was that CTC couldnt convert the debt into shares when we flew above that figure because the filing hadnt yet been approved. Thats not CTCs fault necessarily as the SEC is swamped.
Dilution is not good, your right about that, but again there is no surprise here. We have been talking about the bk for months and how we could get diluted should AQU and Ascendiant win. Thats a big if for AQU and Ascendiant will at best only get their 1 million shares. I dont expect AQU to get 20 million shares, no one does, but the SEC demands full disclosure of risks.
One last thing, the DBH paid $15 million for their shares, not .001 (check out your certificates of any stock you own, GE, EXXON, GOOGLE, and they will be worth that in par value, its just standard procedure for the cert, what the market yields is the true value). We needed the money when the DBH gave it to us ... so its dilution but at a nice price for the company at a significant moment.
AI
