Hollund Industrial Marine Inc. (HIMR)

[MrMarket]

Is it possible that this is where the dilution is coming from, and not necessarily HIMR directly (from their most recent quarterly report)?

"During April 2011, the Company entered into an agreement to convert 700,000 shares of the former Series B Preferred Stock into Series C Preferred Stock. The Series B Preferred Stock was originally issued by the Company as partial payment on the debt owed for the HIRS acquisition.

The estimated value of the shares is $1,400,000.

a. The agreement was entered into pursuant to Section 4(2) of the Securities Act of 1933, as amended, and Rule 506 promulgated thereunder;
b. The transaction was unregistered;
c. The transaction was executed via a private agreement and not a public offering;
d. The agreement called for 700,000 shares of Series C Preferred Stock to be issued;
e. The agreement called for the cancelation of the shareholder’s Series B Preferred Stock in exchange for newly issued Series C Preferred Stock. The Issuer received no proceeds;
f. The Series C Preferred Stock are not publicly traded however, convert into common shares;
g. The preferred shares issued under this agreement contain the appropriate restrictive legend."

Just a thought...

GLTA