Replies to post #56308 on BrewBilt Brewing Co (BRBL)

[mikeski74]

Let’s hope this $200 mill deal gets done ASAP! We need some good news here.

[stervc]

doogdilinger, important from this SIML 8-K...

I'm still pro SIML for the reasons that I will explain. The first increase in the Authorized Shares (AS) to 1,500,000,000 shares was to allow for a number of shares to exist within the Treasury if all of the notes were not going to be paid off in a worst case scenario. This was part of the note-holder requirements to make sure there is always enough shares in the company's reserves for shares (the Authorized Shares) to be used basically as collateral.

At such time of the agreement, the price was at .007 per share range. The price had dropped down 3.5 times that price to the .002 per share range. So to compensate for such drop, the AS had to be increased 3.5 times the amount to allow for the same value of coverage to exist back when the agreement was done at .007 per share to balance the value to be equivalent. This is why the increase in the AS to 5,000,000,000 shares.

These are not all of the shares that will hit the market to be part of the Outstanding Shares (OS) because I believe that their plan to eliminate the majority of the remaining debt will keep such from happening to minimize the remaining dilution.

The 8-K info of which I am referring is below:

http://archive.fast-edgar.com//20190919/ANZZQ22CZ22TD2Z2222N22ZZQOOAZZ3R56B2/
ITEM 8.01 Other Information

Increase in Authorized Shares Relative To Note-Holder Compliance:

Richard Hylen, the Chairman and CEO, and majority share holder of the Company authorized and approved the amendment to its Articles of Incorporation on September 16, 2019 to increase the number of authorized shares from 1,500,000,000 to 5,000,000,000 with the Secretary of State for Nevada.

The purpose for the increase in the number of authorized shares is pursuant with the note-holder requirements for the required reserves specified under each of the notes on the company’s derivative table. Fluctuation in stock price enforces issuer compliance for note-holders to restructure share reserves.

As of September 18, 2019, the current Issued/outstanding common shares are 490,189,299; whereas of this amount, the number of restricted shares is 103,021,354 and the number of non-restricted shares is 387,167,945. The total amounts of the notes with reserves are in value of approximately $1,092,878.

v/r
Sterling