Replies to post #38438 on Cdex, Inc. (fka CDEX)

[pennstreet]

A reply to a Post>

Using the example in this post, had one purchased a 100,000 shares at 10 cents, you now own 44 shares that you have $10,000 in.

I doubt one can pick up 100,000 shares tomorrow for .015, so lets say one can pick up 100,000 shares at an average of 2 cents.

So you invest another $2,000.00.

You now have $12,000 in Cdex. Your 100,000 new shares will be 10,000 soon, so you will now have 10,044 shares, according to the post I am replying to.

Your average share price would now be $1.19 cents.

Or invest another $4,000.00 and have an average of .70 cents per share.

Or you can just stay at your $227.27 per share average with you 44 shares.

The court did the right thing, and in 3-6 month's, all Cdex shareholders will know if the choices they made or didn't make, these past few month's, were the right one's.

Investing in penny stocks and new tech is not for the faint of heart, or weak of knee's.

But then, those who manage these penny stock companies, may find out, that if they cannot do that which they should, they will get found out and replaced.

Life is journey that can sometimes dictate your decision, but investing, at ANY level, is a voluntary choice, either you do or you don't.

[kmryp00]

Diddy, just a little overzealous in your calculation.

It's actually 45.3 x 10 = 453

100,000 Loch/453 = 220.75 Cdex


Not splitting hairs (it doesn't make any difference at this point) just want to get the math right.

[capnmike]

d4diddy, respectfully, I thought the 2003 LOCH exchange included the 2002 CDEX 1:5 reverse split in the distribution ratio.

Here is the 2002 1:5 reverse split.
http://www.sec.gov/Archives/edgar/data/1173738/000093041304000262/c30627_sb2.txt

COMMON STOCK: All Class A common stock amounts have been adjusted to reflect the 1 for 5 reverse stock split declared by the board of directors on December 11, 2002.

Here is the 2003 LOCH exchange which refers to post-split numbers.

http://www.sec.gov/Archives/edgar/data/766347/000101540203004039/doc1.txt
Date of Report, October 9, 2003.

...should make available 10,842,223 post-split Class A common shares of CDEX for purposes of (a) the share exchange

CDEX shares to be distributed yields an exchange ratio of 45.29863547, which is the exchange ratio that Loch, through its agent NAT, shall use in conducting the share exchange.

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Using a round number of 100,000 shares of LOCH at a cost of $1 each, what is today's CDEX cost basis?
Wouldn't it be:

100,000 LOCH exchanged for 2208 CDEX (100,000/45.29863547 = 2207.6 or 2208 CDEX shares) costing the original $100,000

then the 2208 shares were reversed by 1:10 in 2012 yielding 220.8 or 221 shares costing the original $100,000 total, or a PPS of $452.49

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Still very ugly for LOCH shares to be sure, but I do think the distribution had to take into account the CDEX 1:5 reverse of 2002 when the stock exchange was completed in 2003.