Replies to post #31309 on Secure Point Technologies Inc (fka IMSCQ)

[tedpeele]

I thought you were talking about a refinancing and not a buyout. If there is a refinancing then I don't think of that in terms of DMRJ shares being bought at a set price. I think of them getting paid their principal in dollars, and then if the market price is under $1 they won't be able to convert the principal having a strike price over a $1 to shares, which reduces the overall dilution AND therefore the overall 'fully dilution' amount of shares that BM/DJ get to use to calculate a 1% award. At least that's how I see it in the case of a pure refinance.

For a buyout, as I understand it the acquiring company sets a market price, so it seems that the same ideas apply.