Replies to post #39629 on Secure Point Technologies Inc (fka IMSCQ)

[Implanting]

I hate to plead ignorance, but I'm not even sure what they signified. Massive dilution? Anything to do with what they were selling the Company for? Any help would be appreciated.

[mr-truthbetold]

Yeah, I don't think honky is calculating it correctly. And, frankly, I have not seen that anyone on this board knows what it means. Not being nasty, but the speculation is clearly grasping at straws. For all we know, the $190 was a typo. It was previously $1.09. At this point, a typo seems more likely than an increase of $188.91 in the conversion price. But, I could be wrong. We could all be wrong.

What we need is for IMSC to publish something that either clarifies what's happening or, at minimum, presents some update as it relates to timing and their ability to operate as "business as usual" until such time as the announcement can be made.

[honky76]

From July 18,2016 Articles of Amendment

"The terms of the Series H Convertible Preferred Stock...as originally set forth in Exhibit A Articles of Amendment of the Corporation ... on September 4, 2012 are hereby amended as follows:

1. Section 5.1 is hereby amended to replace the second sentence thereof with the following: The "Series H Conversion Price" shall initially be equal to $190.00."


From September 4, 2012 Articles of Amendment

"The holders of Series H Preferred Stock shall have conversion rights as follows:

5.1 Right to Conver: Conversion Ratio. Each share of Series H Preferred Stock shall be convertible ... into such number of fully paid and nonassessable shares of Common Stock as determined by (i) dividing the Series H original issue price by the series h conversion price(defined below) in effect at the time of conversion and (ii) multiply the results by 1,000. The Series H conversion price shall initially be equal $1090.00 ... "


"DMRJ has the right to convert $18,965,000.00 of outstanding principal and accrued interest owed by Issuer under that certain second Senior Secured Convertible Promissory Note (as modified or amended from time to time, the “September 2012 Note”) into the Company’s Series H Preferred Stock, which may then be converted into up to 17,399,082 shares of Common Stock, at a price of $1.09 per share of Common Stock;"

17,399,082 Shares = ($18,965,000.00 / $1090.00) x 1000

Now the conversion factor changed:

99,815,789 Shares = ($18,965,000.00 / $190.00) x 1000

Is my math incorrect or am I missing something?