Replies to post #55357 on Sigma Labs Inc (SASI)

[VisionaryInc]

The only difference between this and any other warrant situation, is that the warrants are being added to the authorized share count, which is why there had to be a registration and prospectus.

Upon the exercise of the warrants into common stock they will be added to the authorized share count, which was not previously accounted for.

The current 4.5 million issued will increase by the number of warrants exercised, approximately 1.6 million

Putting us at 6.1 of our current 7.5 million authorized.

Approximately 35% dilution, but from the $4 exercise price as long as that number doesn't change.

[El_Jefe42]

I'm inclined to believe the "cleanup" case you've made. What I don't get is why? Was there a material reason for wanting to do this? Seems to me that if not, then we just spent how every many thousands in legal fees generating a document that only looks better but doesn't do anything.

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.