Wave Systems Corp. (fka WAVXQ)

[dig space]

alea, I have never heard of the 1/3rd rule, but it seems this time around Wave is constrained on their ability equity finance by factors other than market willingness. It seems the confluence of mcap (sub 75m) and amounts sought bump into a rule. So my back of the napkin landed more or less where tkc landed, they have about a year if all stays more or less the same. I don't know if the 1/3rd rule applies just to ATM facilities or what, but I have never seen a disclosure that they may be prevented from issuing shares by rule. Obviously other avenues of capital restructuring are likely on the table, but it does seem that disclosures indicated that their are now limits to Wave's printing press. It seems that perhaps something as simple as a doubling of SP (which would clear the 75m mcap) would disencumber them of the rule, but that while simply may not be easy.

On a separate matter I find Berger's threat of a lawsuit remarkable, not the notion but the amount. What were they paying this guy such that he claims $180k+ in lost wages over the course of a couple months?

... the costs of restructuring.