Clarocity Corp CLRYF

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:News out

[gwr]

Spoken like a non-debenture holder.  The reason debenture holders invested to save the company originally was how the debenture structure works in the market and you would ask they save the company twice.  Don't blame debenture holders as you have that is just plain stupid when clearly the company management and BOD has failed to deliver and some remnants are still around.  I have heard and seen the arguments presented on warrants and debt holders holding back shareholder value a gazzilion times over the years and it always comes from the johny come lately money, investment firms or people who bought their shares in the open market and didn't contribute a penny to operating capital for the firm.  I also call BS on this affecting sales with clients due to balance sheet issues that is another long used red herring and in the case of Zaoi this is a product based decision with not alot of capital required to execute nor is capital unavailable for the right reasons, like credit facilities on contracts etc.

If the company wants debenture holders to vote in favour they will have to sweeten the deal as the present proposal is lacking in my view especially if the company has the success that I think it can and will.  No amount of BS explanations will change my mind as I am quite capable of defining the pros & cons of financial offerings as I'm sure are other debenture holders.  If I was looking for a quick flip the deal offered would be good but I'm not and am willing to take the risk of share price over the next year and in longer term.  The only way I will convert is if given no choice by the larger vote of debenture holders or maybe I will convert early as outline by Darvesh, got to think about that more as the warrants I think will yet prove very valuable over a 2 year period.

It will be interesting to see how the vote goes and I hope they didn't already entice a couple large holders with some extra incentive or inducement not available to all.  I also don't for a second think a negative vote will stop the company moving forward, just more scare tactics for the weak minded.