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dude abides

05/06/18 9:59 PM

#37022 RE: inversor86 #37021

You're missing something.

Lebby's made it very clear our next source of funding comes from a partnership.

There's zero reason to have someone else finance this between LPC and a that.

If you were negotiating that deal, wouldn't it make sense to wait until you had prototypes in hand? And if you were close to optimizing that device to hit 100gbs a second (and open the door for 800 gbs), wouldn't you want that in your back pocket too?

So yeah, LPC sucks, but it got us to this point.

If I can make a suggestion - stop posting about how much you hate LPC, and put LWLG on the clock.

My expectation is that we have another form of financing lined up by the 2019 ASM. If not - I'll have some serious questions about what's actually going on here.

Until then - take solace in the fact that 70 people own half of the shares in this company and aren't selling right now.
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walterc

05/08/18 12:26 AM

#37091 RE: inversor86 #37021

Inversor
Regarding the Lincoln deal
I am not entirely retarded and I know that there are dreamscenarios which are better but we live in the real world.

I am also not against bringing the subject up at the ASM in a respectful way and to listen to the arguments of the company; I think Ihub is not the ideal medium to discuss this.

Everyone with experience in finance thay I know agrees on the following

It has been an excellent deal for the company from multiple standpoints. Primarily, cost which works out to be approximately 3%. This is extremely inexpensive money versus a traditional PIPE deal that can run as high as 30% when all the financing costs and warrants are figured in.

Most PIPE deals are heavily shorted ahead of the transaction which can dramatically depress a stock's price.

And, by the way LPC cannot and has not shorted LWLG stock. The entire concept of a synthetic short as stated in [the research report] was inaccurate as the commitment shares are not registered until after the agreement terminates.

Finally, no quality investment bank would want tot spend time with a $10MM deal and doing a large deal at this time is not a smart idea as the cost of capital for the company is enormous. The LPC deal is perfect for the LWLG because it allows the company to raise small amounts of cash on their own timeline. LPC has been a great partner for the company. They even participated in the the last 2 private deals when they didn't have to.