Replies to post #31998 on Worksport Ltd (WKSP)

[hp435]

The os did go up but I didn't mean to imply that was bad, nor is it dilution.

Since he lowered the os from 222 million there is not any dilution till it goes over 222 million.

To try and clarify the dilution factor in regards to fnhi and to stop further confusion I will explain what is happening here.

Fnhi like all young companies needs to get financing to move forward. It is almost always through equity which means the company needs to sell newly issued shares to get the required funds. Which by its very nature normally dilutes the stockholders equity which is normal to do to raise capital.

Since in fnhi's case, Rossi (major owner and ceo), retired a100 million shares last year to help curtail the dilution needed for funding. Then subsequently he lowered it another few million shares down to around 119 million shares. Now yesterday it went up 6 million shares, leaving it well below the 222 million mark. So at least at this point there has been no dilution.

However, that being said and to be fair to everyone concerned, no one should think it will stop at 125 million.

He needs to do a private placement and has had to give shares for bill payments according to Q's. I forget the exact numbers but they are outlined in the Q's. But I believe between the various lenders there is around 85 to 90 million more shares that will eventually end up in the os. (May take a few years, may all be released this year, (I am not sure))

In the end maybe a few million less or a few million more from that 85 to 90 number will be added to os. (I would count on more by the end.)

But obviously it should increase way over the 125 million plus that it is at now. This is not bad news as if he funds this with no increase in os from the 222 million number it is quite an accomplishment. And even if he does go over the 222 million mark, lets say even to 250 million shares, it means to pay the bills, fill orders and secure inventory to move the company forward with only a net increase of 30 million shares would be a terrific job and at a much lower cost to shareholders than 95% or more of all ceo's out there.

It still remains to be seen if he can come in under 250 million os but if he does it will be a stockholder win for sure.

I hope this clears up what is happening and helps to clarify some of the concerns we all have in regards to the share count.

[FUBAR]

Huh? We all knew this. Certainly there are other reasons to begrade a ticker. 126 mil share structure isn’t one of them. How about lack of revenues? Nope. Can’t go there either. I give up. Guess I should buy more FHNI.