Replies to post #152178 on Innovation Pharmaceuticals Inc (IPIX)

[scottsmith]

It's easy to figure. How much did LE pay for all his shares and options?

[NotRichYet2]

LOL - He did as you requested

[loanranger]

"He has loaned the company what 2 million?"

A little more, actually. And he's been collecting $200,000+ in interest annually on it for a number of years. He also "received" 2,000,000 Equity Incentive Options exercisable at $0.51 per share, which are currently worth another $2,000,000.

He made himself quite a nice deal.


(Cue the chorus: "But he saved the company!")

[loanranger]

I forgot something.
There's the 10% interest (~$200K a year) and the "bonus" 2,000,000 options exercisable at $.51 share (currently worth ~$2M), but I overlooked the fact that the note itself is convertible at $.50/share....that conversion would result in a gain of about $4M if executed today.

I'm sure that I'll be corrected if I'm wrong about any of that, but it sounds like that $2M loan could be turned into $6M today by the conversion of the note and the exercise of the options...in addition to the $1M+ in interest that has been earned over the years.

[believer20]

Between his salary and his bonuses and even if the shares went to a dime he's recouped his loan. He has nothing to lose. Playing with house money.