Replies to post #94948 on Vapor Group Inc (VPOR)

[Locksmith]

Preferred stock conversion

Ok, so I had a few minutes to dig into this again. On the announced closure of the reverse merger back on 10/19/16 with NewGen (which brought EasyCork into the mix) they exchanged all of the outstanding shares of the then privately held NewGen, for preferred VPOR shares. These exchanged preferred shares were subject to a holding period, prior to the conversion of common. The terms were not mentioned but I assumed it was a one year holding period - but that is my guess. Any other guess on what might be a typical holding period?

So when they talk about the potential forward dilution, this is what I have in mind, and why I had a Fall date in mind.

The current PR about debt reduction truly is good news, and we can guestimate that it was significant due to the ratio of A/S that were retired. Unfortunetly it still leaves an unanswered question about how much remains (in $), but this is clearly a big step in the right direction. I assume this came about due to grinder pre-sales and committments?

Nonetheless, the company will always hold some A/S for future transactions, so I wouldn't look for this to ever get close the O/S count.

Hope this helps!