Replies to post #7898 on Wialan Technologies Inc (WLAN)

[joeecm]

Lol...find an OTC stock that goes an entire year without changing share counts. Every company out there does it. The point is to find the companies that use their share sales to benefit the company (and therefore shareholders). Look at some of the big winners this year for proof. They all increased OS and float numbers, but the good ones used that capital to either introduce new products, or shed debt, etc. The ones you want to avoid are the ones that continue going backwards even after dilution.

Did you read the financials yourself? Over the course of the year, ACYD numbers started going in the right direction. They increase OS, and boom, their financials turn upward.

The entire point of a company issuing stock is to provide capital! They must do this in order to grow, but you cannot grow your business without spending money!

I'm not trying to convince anyone to buy or sell anything here, but check the numbers again before you ask others if they have read them.

[joeecm]

I'll save you all some time bro...

Read pages 52-54 of their annual report. Clearly shows all those issued shares went to either pay off old debts or else pay bills. They issued 9M alone to finish paying off the loan from several years ago.

These are what I like to refer to as acceptable dilution.

And if you go back to page 50, you will see that they moved over 25M shares to cover their big $300K loan over the course of about the last two years. Since there is no shareholder of record holding 25M shares currently, we can only assume they dumped a lot of that into the float. None of those shares were restricted, so they could have done just that (and I would be surprised if they didn't do that). 25M @ .01 would have pushed $250k back to them. They could have shed a few million more last year no problem, but these shares being introduced into the float would have accounted for nearly the entire increase last year.