Replies to post #4580 on Veltex Corporation (VLXC)

[shrotker]

"dilution is dilution. My investment shrinks".

No one can disagree with this statement on it's face, but it does not always result in a lower value for your investment.

Say for example that Veltex authorized 100MM more shares and used them to buy a privately held company that was worth 1.5MM dollars. The total net value of our investment would be 4.5MM dollars instead of the 3MM dollars it is with 200MM shares at .015 per share. In this instance your shares would be worth the same with the company having a better chance of growing the business if the acqusition was a wise choice.

As I have been saying all along, it is more important what Veltex does with the additional shares(not a reality yet) than the fact that they exist.

Rainy day here so I'm stuck inside checking the boards. :(

[theis]

FWIW I sent a short email to Paul Knobick at E&E regarding these issues. Heres his reply:

Thank you for being a Veltex shareholder. There have been no shares sold into the market. They have been used for various transactions the company has been involved in. I have urged Mr. Matin several times to become fully reporting and (at least) list on the OTC BB. I spoke recently to their attorney, who said that process has begun, although he said it would be long and difficult to accomplish.

Paul Knopick for Veltex



the fact that shares are not being sold into the market is a good sign imo, at the very least it indicates the company has a positive cash flow and doesnt need funds from shareselling. cheers, k