Replies to post #4503 on Globalnet (fka GLBT)

[calitrader]

R/M, acquisition or buyout would be the obvious reason to get things together like GLBT is doing. They have not mentioned any big bright future plans just yet. So maybe they are concentrating on pleasing a potential buyer currently.

Mark Shaftlein has mentioned several times he is in the business of buying and selling companies.

He gets involved with the companies on the cheap. Provides them funding and hires a few key execs then he pretty much puts them on the auction block.

I am sure we will see soon why things were done the way they were done.

[veloyt]

goood question and I know no answer

[meanmikeca]

that is not the issue. can you see that the shareholders exist only because the debt holders have not filed default. tell me what would prevent them from doing so?

and btw it is very naive to assume that they will not file default. there are good reasons not to file default until you want to take possession of the company, legal reasons, tax reasons, and financial reasons.

look at it from the perspective of the debtors. taking possession now could put you in jeopardy if the company does fail, by waiting till the company goes bk you are at the front of the line to get paid. if you owned it and it failed you would be paying others.

its not as straight forward as it seems on the surface. just because they got $500,000 does not mean they will succeed and if they do succeed it does not mean the shareholders will benefit.

its called toxic financing for a reason.