Replies to post #55352 on Sigma Labs Inc (SASI)

[VisionaryInc]

As of now, the warrants are exercisable at $4, which means no investor would exercise below $4 plus the original cost of the warrant, which if I believe those involved in the offering recieved one share and one warrant for 4.13.

The warrants we're originally trading at .65 upon the offering on the open market.

Now at .35, any price above 4.35, would put the warrants "in the money".

I'm not sure of any possibility of lowering the exercise price since they were already offered on the open market...I guess I'd need to ask a financial advisor on that one.

As of now, it appears sigma may believe their common stock may reach that $4 mark in the time frame they will need the extra cash, mid to late 2018 by current projections.

A stretch from recent price action....but that's the only conclusion that makes sense as of now.

[TedJ]

There is probably nothing really new in prospectus or anything new being offered.

I have just taken a quick look at it and it looks to me to just be a "cleanup" of the original prospectus filed back in Feb. The public offering had several options, including the offering of Class A units, Class B units, and over-allotment offerings to the underwriter.

We are offering by this prospectus 1,410,000 Class A Units, with each Class A Unit consisting of one share of our common stock and one warrant to purchase one share of our common stock at an exercise price equal to $4.00 per share (the “2017 warrants”). The Class A Units are being offered at a price of $4.13 per Class A Unit. The Class A Units will not be issued or certificated. The shares of common stock and 2017 warrants comprising the Class A Units are immediately separable and will be issued separately.

All 1,410,000 Class A Units were sold, no Claas B were sold, and the underwriters only exercised the over-allotment option for the 211,500 warrants.

So it looks like they rewrote the prospectus to only include the warrants that were actually issued. 1,410,000 + 211,500 = 1,621,500

We are offering 1,621,500 shares of our common stock that are issuable upon the exercise of 1,621,500 warrants. Each warrant has an exercise price of $4.00 per share. We issued the warrants on February 21, 2017 as part of our underwritten public offering of units comprised of shares of common stock and warrants to purchase our common stock. No securities are being offered by this prospectus other than the shares of our common stock that will be issued upon the exercise of the warrants.

By removing the discussions about the unused options, it simplifies the prospectus and they have brought the prospectus up-to-date to reflect what is already out there.

This should make it easier for holders of the SGLBW warrants to understand what the own.

I suggest that anyone who bought the warrants spend some time and read the prospectus.