Who profits from closing the stock at .0001?
It's the LENDERS. Read the SEC flings to verify how the loans are converted.
The lender convert their notes at 80% of the lowest 3 day average in the past 20 days.
The lenders first have their broker sell shares to later be covered by shares sent to the broker from the transfer agent. The transfer agent charges $35 per transaction. They sell the shares at whatever price the market allows and make more money if the conversion price is lower.
If the stock closes at .0002 for 3 business days, then the lenders would get each share for $.00016.
If the stock closes at .0001 for 3 business days, then the lenders would get each share for $.00008.
Now, do you understand why they close the stock at .0001?
“Conversion Price” means, as of any Conversion Date (as defined below) or other applicable date of determination, the lowest of (i) the Fixed Conversion Price (as defined below), (ii) the price which is equal to the product of (1) 80% multiplied by (2) the quotient of (A) the sum of each of the three (3) lowest daily Weighted Average Prices (as defined below) of the Common Stock during the twenty (20) consecutive Trading Day (as defined below) period immediately preceding the applicable Conversion Date or other applicable date of determination (as applicable) divided by (B) three (3) (as adjusted for any stock split, stock dividend, stock combination or other similar transaction during any such twenty (20) Trading Day period) and (iii) the price which is equal to 80% of the Closing Bid Price of the Common Stock on the Trading Day immediately preceding the applicable Conversion Date or other applicable date of determination (as applicable) (as adjusted for any stock split, stock dividend, stock combination or other similar transaction occurring on the applicable Conversion Date or other applicable date of determination (as applicable)).
Below are the lendeers.
Iroquois Master Fund Ltd.
Cranshire Capital, L.P.
Freestone Advantage Partners, LP
Bristol Investment Fund, Ltd.
Kingsbrook Opportunities Master Fund LP
Alpha Capital Anstalt
Whalehaven Capital Fund, Ltd.
I have never shorted nor intend to have any financial interest in this stock. I am not connected with anyone who trades, shorts or has financial interests in this stock. I only post facts and my opinions. I do not post on IHUB with different aliases.