InvestorsHub Logo

BioRecruiter

10/13/09 9:44 AM

#37017 RE: Talc Moan #37016

I think we are close to full dilution for now. The next time the noteholders can crush us is January.

The_radman

10/13/09 9:49 AM

#37020 RE: Talc Moan #37016

Good Morning Smitty. For your future reference DILUTION occurs when a company issues "restricted" shares and washes down the value of earnings or assets. SATURATION occurs when there are more "free trading" shares that are being sold into the market then the market can absorb. In Genta's case there is no asset value as it's carying a negative balance sheet and there are no earnings to speak of so minimum dilution occurs by issuing restricted shares. Now in the case of 160M free trading shares at a cost of $.10 that could be sold into a $.90 priced market one could witness saturation which could mean a drop in price. Over the years par has been changed to $.0001 not because of dilution but saturation.