Replies to post #112253 on Baron Capital Enterprise Inc (BCAP)

[pantherj]

That is not the case. The phrase, "does not have to," means two things, both bad for BCAP shareholders.

A) BCAP is not compelled to raise the AS, But it may do so if it wishes.

B) It is unnecessary to formally raise the AS to accomodate the Preferred; as converting the Preferred to common, thus automatically raising the AS, is allowed under the Articles of Incorporation and Bylaws.

Either way, BCAP shareholders are not at all protected. The misinformation being bandied about saying that they are protected is dangerously wrong.

[Fire Lane]

doesnt matter, since shareholders can vote to increase at any time and since the preferred holders have 10 billion votes, they outvote anyone at any given time. so in essence there is no lock