We don't know yet. If the deal with Ironridge is true than he needed the RS because he didn't have enough shares to cover the conversion. As far as knowing the RS was coming, Scheer always said they have no plans to exercise that right. It was a last resort measure that would be used to prevent a takeover. The fact remains that Cerp is not financially healthy and needs revenue to cover costs. If he does not get new contracts (big contracts) he will have to dilute to cover.
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