Replies to post #31302 on Secure Point Technologies Inc (fka IMSCQ)

[tedpeele]

<<That un-dynamic has killed interest in the stock. IMO, the company PRs have lost any power to lift the SP and until that changes, the SP will spiral downward. One might say: why is mgt. letting this happen? One possible answer: BM/DJ and or both receive 1% of outstanding share count as an optional conversion at the price set when/on the day they together or singly bring at least 15M$ in NEW financing to ISC. More shares diluting = higher float share count and lower SP= a delightful option award.>>

Buzz, I'm not following this. You seem to be saying that the lower the share price, the more shares can be diluted which = more options for management, but in actuality DMRJ can only convert shares that are over the strike price and there are millions of shares that are currently below their strike prices. Can you clarify this for me? So if their 1% is based on fully diluted shares and management wants the highest fully diluted count possible, they would try to get the price well over $1 in order to enable DMRJ to convert all of their refinance payouts to shares.

It is actually to shareholders benefit to keep the price under $1 so as to reduce the dilution, in the event of a refinance.

[unclecash]

I do get it, because that is what I've been saying. The dilution is the fear being used by shorts to manipulate the stock. Without fear, shorts have a real challenge.