Well I guess I am one the people who raise the reverse split scenario in 2012. You say you wouldn't stand for it, what could you do ? I am just trying to figrue where to build a bigger position, and it just seems logical they will need to do a small reverse this year, just my opinion.
As far as dilution of course they need to dilute, how else will they raise cash to implement their business plan ? Even if they just need $400,000- and of course they need more than last year which was around that amount- at current prices that is around 26 million. I guess on of people posted said they had 93 million now.If the get another convertible with a 50% discount, that would make 52 million more instead of 26 million.
Now I dont know if they will need $400,000, but considering they have property deals to close, contractual committments, a greater level of forecast activity for this year,it doesnt seem out of line to forecast they will need as much cash as last year. Even if as some believe they are paying most of their exenses in shares ( why no 8k fiing on this ?), still an increase in shares.
SO 56 + 93 = 149 million shares, my overall forecast is they will reach at least 150 to 200 million shares this year if they can hold price in $.01 to $.02 price range.
My problem is do I accumulate more now, or after a reverse I think is coming within next 12 months- as I do think once they get a permit, some funding, and a more probable start date, and better IR, this stock could rocket upwards fast.
AI
