While I agree that "dilution is not a long-term solution," I can't agree with your assessment that "an optimistic view would be that they do not see the need for lots of money."
First, they clearly need "lots" of money. At the end of last quarter they had $1,500 in cash and almost $7,000,000 in liabilities including 5.5 million in accounts payable.
Second, it's not like anyone is actually reaching in their own pocket and handing over money in exchange for CTTC stock. It's more like someone owed money realizes "a bird in the hand is worth two in the bush" -- if you can't get cash, may as well take shares and hope you can unload them at some point so as to recoup at least some of what you are owed.
All the company is really doing is giving away shareholder for "directors’ fees, executive compensation and for legal services." And it sounds like it was their only alternative. And given the rapidly increasing number of shares with each such offering, it looks like the true value being allowed for each of those shares is decreasing in proportion.
Regardless, that's $552,000 dollars of shareholder equity that took wings and flew out the proverbial window. Given that shareholder equity was already a negative 2.1 million dollars at the end of March, $552,000 is certainly not trivial.
More important is how the company will ultimately manage accounts not payable with shares of CTTC.
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