Replies to post #38259 on Artificial Intelligence Technology Solutions Inc (AITX)

[Monte_Cristo]

Ok, but I think you've copied and pasted about convertible notes applicable to seed financings, which is inapplicable here.

Let me understand your logic about the conversion:

SO just to understand once the note matures then it converts into shares.. :ie then the note converter sell the shares into market...
in this case at a very rapid pace so as to not file any ownership forms..

You're saying the balance owing on the note will be dumped all at once into the float, and it will happen quickly (so ownership papers won't be filed), just think logically for a second about what you're suggesting. First of all, if the dumping note holder owns more than 5%, they have to file documents. It's an SEC requirement. Second, let's assume - for argument's sake - that 37M shares are set to be "dumped," although there is absolutely no confirmation that this number is even close to correct. But, worst case scenario, let's assume that's the magic number. They can't dump more than what's available to max out the A/S to 480M. Let's say for argument's sake, the O/S is 443M and they have just enough room to convert and add that 37M all the way up to the maximum 480M A/S. They'd then own 7.7% of the company and would have to file Schedule 13G.

You also seemed to mention that the note holder would convert into another series of OMVS preferred stock. Where did you get this from? Where in any of the filings do you obtain that info? (i.e. that this particular note will convert into anything but common stock)? In any case, if it gets converted to a different class of shares other than common, it may be a good thing because there will be no dilution of common stock (which is what investors care about, because that's what we're trading here).

$$$ OMVS $$$