RE:RE:RE:RE:Options Exercised at $0.74KushMan wrote: Bellsey.. They haven't bought squat.. "Awarded" the options doesn't mean they paid for them out of pocket.
Since the current share value is above the "award" price all they will do is short sell their allocated portion into the market.
Each person will them keep the spread "above" the allocated price and the 0.72 goes to the company.
e.g Option holder short sells 10,000 shares of his allocated option at current bid of .82 Insider keeps a dime and the .72 goes back to the company.
They are out of pocket 0 and they just put $1,000 into their pockets (.10 x 10,000)
Brokers short sell them all the time against delivery of the share certificates. Pervfectly legal.
KushMan
:)
Bellsey wrote: Hey Kush - the three of them bought 1.8mil $ worth of their options. If the share price dropped under 74 cents they'd be in the red from their own personal money ? Is that correct ? That's a huge bet on your own company is it not ? Is it possible they know something ...like a potential buy out ? I assume if they got bought out they wouldn't be allowed to purchase their option shares or am I wrong on that ?
Thanks.
Or they actually optioned themselves shares to put $ in the treasury for payments of acquisitions knowing that the future the share price will be higher . So far Will Rascan has a substantial amount of shares in his personal name and a pile more under a shell corp. Insiders hold a fair # of shares some still not exercised . I did notice the outstanding shares has been updated to 107 million with only 15 million left to be fully diluted. Normally early take these as a sign of license or another acquisition coming sooner then later ;)