Replies to post #81345 on DNAprint Genomics (DNAG)

[frogdreaming]

The question previously put forward relates to who will own the eventual company?

The current stockholders or the new investment group.


The listing of capital expenditures includes the payment of $200,000 to Dutchess Private Equities Fund, Ltd. This is the payment as outlined in the attached term sheet between FSDLS and Dutchess. Dutchess is currently the largest creditor and totally secured by all of the assets of the corporation. The $200,000 payment is for all of the debt and lien position they have on DNAPrint. By purchasing Dutchess position FSDLS become the superior lien holder and now protect the licensing agreement between DNAPrint and FSDLS. There is also a $260,000 payment to DLA Piper, patent attorneys. This is an outstanding obligation of DNAPrint and is part of the consideration of the licensing agreement. By virtue of the having the Dutchess position FSDLS will also have a lien on all IP of DNAPrint, including patents that are in process.

Apparently Dutchess thinks that all the assets of DNAG are worth less than $200,000.

The new company thinks that they are worth a little more since they are going to pay the back attorney fees.

I don't see that the current investors are left with anything.

What do you get Dan, for your part?