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Replies to #54093 on MediaG3 (MDGC)
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Cassandra

07/25/11 12:45 AM

#54107 RE: EarnestDD #54093

It's possible that MediaG3 execs greatly reduced the private offering price of the initial MediaG3 shares in fall 2007 - mid 2008 just to get some shares sold and raise some funds. The $3.00 offering price was just the initial proposed maximum price from 9/2007 - 6/2008. Reduced prices were likely during that private placement period.

Mesh Global could do the same kind of overpriced original offering, but might lower the buy-in price when it becomes clear that they can't sell any more at the top price, just as MDGC may have done with its private placement.