GREY:LSTMF - Post by User
Post by
bushhog1on Jul 18, 2016 7:56pm
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Post# 25063530
LTS to raise about $1.2B to cover $120M default
LTS to raise about $1.2B to cover $120M default Shareholders being slaughtered
1) LTS cut productions in Q1, and should have known that this action will cause a breach of the Banks' LOC covenants (EBITDA)
This actoin triggered a possible default of about $120M that has to be addressed
by the end of July 2016
2) The Company decided to rectify this problem by proposing to issue about 44 times the current outstanding Shares at the lowest prices in their history.
This will gross the Company about $1.2Billion
3)This stock was clearly manipulated to LTS lowest prices in their history.
(Out of 198.5M o/shares only about 15M shares were sold below 20 cents)
Why raise $1.2B now, at its stock's lowest price, to cover only a $120M default ?
They had several options, as they claimed, but chose this one.
LTS should have known the Stock price was being manipulated before proposing
to sell 8.6 Billion more shares so cheap, at about 19 cents
Please do your own due deligence and calculations
Only my Opinion