RE:RE:RE:RE:You guys should have bought isol!!!!Sadly, the dilution of ISOL's stock is actually much more than $10 million.
New shares to be issued: $25 million in shares for BSPG UK upon approval of API
$3 million in shares for PUR Brazil
$10 million in shares for Serruya Private Equity (at $0.73)
$10 million in warrants for Serruya Private Equity (at $1.00)
Cash being spent: $25 million for BSPG UK
$2 million to PUR Brazil
$500,000 for patents
$12.5 million for construction of new facility
Assuming the BSPG and PUR shares are issued at the closing price before the halt of $0.91, these deals are adding
55 million shares, plus draining the bank account of cash. If they were issued at the same price the Serruya family got ($0.73), it's actually
62 million shares. On top of that, the original BSPG Hong Kong deal that was made in December for shares at $1.51 has been canceled.
I was a shareholder of ISOL until I crunched these numbers today. I still think the company will do well in the long term, but in the meantime, I felt the safest move was to take the profit and wait. Pricing financing at $0.73 sends a mesage to the market that that's what the shares are worth. Also, I'm leary about the upcoming deals with Scythian in Latin America - I sense even more dilution could be just around the corner.
I'm not trying to badmouth ISOL, nor do I like to compare VIDA and ISOL. I'm just stating the facts since someone came on the VIDA board trying to rub ISOL in our faces for some reason. But given the choice between the two, it's obvious which I would choose today.
VIDA has $20 million cash in the bank and the market cap is only $50 million. The recent financing terms were very reasonable: $1.15/$1.60 1/2 warrants creating very little dilution. The executive team is world-class with proven track records. Great products about to launch. Financing closing this week, so we're almost guaranteed to see a nice stream of news in the near future. Share price is currently below the PP and flying under the radar at the moment. Is that enough reasons to be bullish on VIDA?
AtownMtl wrote: Isol with another 10M in dilution doesn’t look great to me.