Replies to post #15958 on ProElite, Inc. (fka PELE)

[DalaiTom]

I would still think that if they do a r/s, it would only be in order to attain a higher share price as part of an uplisting. Otherwise, I see no reason to do so. The uplisting would be the only advantage to doing a r/s, Otherwise a r/s is generally considered to be a negative.

I've always understood that a r/s would effect all classes of shares. That's why I didn't understand the part about "whomever owns the stock will be in a position to drop some of their preferred shares". In the case of a r/s, they would likewise have proportionately less shares.

Also, none of this can happen unless the stock is trading. If the stock is trading, that would be the best news for this stock in over a year so I would expect the share price would reflect that and at a minumum we would be back where we were before the grey sheets (around .08).

[zoonall]

your concern is valid.. basically, after a RS the company will be able to dilute millions of shares.. some big investors need to get paid back, a mix of preferred and common stock will be sold to pay back these people. for whatever reason pro wants to dilute CBS 20% as well which will happen after the RS. all this can only happen with a RS because the OS will be around 3-4 million. A typical OS is around 50 million. potentially around 50 million could be diluted and pro can pay off all its investors and dilute CBS stake at the same time plus make money like a pirate finding lost treasure... After the RS the price will be around $10 but you will not be ab;le to trade assuming the lock was off, it will take around 3 days before u can trade. if pro starts to dilute on the first day the share price will fall fast and hard, you will only be able to watch it drop. at some point you can sell. most likely it will be for a loss but you will have recouped or saved some money.

if pro has a brain the stock can rise to $30 at that os and very limited dilution would be needed to paY off investors. odds are against pro having a brain as we have all witnesses from day one, unless your blind to reality, so good luck and be smart.