Replies to post #1425 on Patten Energy Solutions Group Inc (PTTN)

[bigbux1]

What they didn't tell you was AMEL is in bed with the devil, namely JMJ financial. 'The group, founded by Justin Keener, who bills himself as a “lifetime entrepreneur” according to its web site, typically invests $400,000-$1,250,000 up-front in small companies. The structures are generally convertible transactions, in which Notes are converted into equity at a time of JMJ’s choosing. So far, so good. The “toxic” part however is that there is no floor. When JMJ converts, it is almost always at prices between 50-80% of the market price for the stock, wherever the stock is at the time it chooses to convert. The “good news” for investors is that the conversion opportunity doesn’t generally occur for six months, as it purchases securities that are restricted. However, once the conversion opportunity occurs, the results are often not pretty.'