100% correct. 

$PBIC owns 12m shares of LOTA. 

nightowl21 wrote: Interesting ....so Lota now has 14million shares outstanding.
They are issuing 12 million additional shares to cover the
debt financing that PBIC provided when SPDG (now Lota)
needed when they bought 180Smoke! Ie this gives PBIC
a significant ownership in LOTA !  A nice investment ! 
So new total of outstanding shares for LOTA approx 26 million 
Is this how you see it!