Tuesday, July 24, 2012 11:19:45 AM
after reading pryor's comments on the website, it's clear to me he doesn't understand how dilution works. the deals that were done for financing happened months ago, and this means the "company" didn't decide to dilute another X million shares a few days ago. things don't work like that. it's just the nature of convertible debt.
once the shares required to convert the debt have been dispersed, and those shares sold into the market, the selling will be over. this is the only way it works. companies cannot sell shares whenever they feel like it, directly into the market, to raise cash.
in some cases, mason can pay down the debt early, by prepaying, and avoid conversion, too. that's why we're all so focused on when they start cash flowing. that'll be soon enough, as per today's news.
once the shares required to convert the debt have been dispersed, and those shares sold into the market, the selling will be over. this is the only way it works. companies cannot sell shares whenever they feel like it, directly into the market, to raise cash.
in some cases, mason can pay down the debt early, by prepaying, and avoid conversion, too. that's why we're all so focused on when they start cash flowing. that'll be soon enough, as per today's news.
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