RE:Good old fashioned warrantsMuch depends upon the terms of the warrants and the need for cash. If the warrants are priced to convert at too high a price, it will not bring in the desired cash in a rapid time frame. If they were priced attractively, however, it would be one way to make it up to legacy shareholders for the disaster of the ONO and could raise some additional cash for TH. In other words, if TH needs cash now and wants to make amends with shareholders, list the warrants at a strike price that is in the money right away and legacy shareholders could convert their warrants at the attractive price and provide the company with cash or sell the warrants to someone else who would convert them and provide the needed cash. So, it is an idea with some merit if TH wants to heal some old wounds and get some cash.
Scioto1 wrote:
Have a question for our esteemed brain trust. An instrument used, fairly regularly, when I 1st started investing is stock warrants. What does the brain trust think about advancing the idea of thtx issuing warrants that would be listed on the market to existing stock holders, at a reasonable strike price as opposed to private solicitations or shelf offering? This would allow those who've been invested for a while to either take advantage of the warrants to buy more or sell them on the market -- a way to reward long term investors and raise money at the desired price. Thoughts?