RE: SellersI hate financings that are done way below market - especially when Canacrap is involved, as they never miss a trick to make a fast buck. I thought it especially weird on this financing if it was so "in demand" that not only were warrants offered, but an entire warrant was issued with each share, as opposed to the norm where a half warrant is issued. Usually warrants are offered as an enticement - but not a full warrant, that is extremely rare and usually only done if the issuer is extremely desperate, which wasn't the case here.
I thought about it - what is going on here is the evil money that got in on the $.30 financing is selling their stock on the market via naked short and they have their hold stock from the financing to "cover" it with - not legal but yet done all the time. They can then ride the free warrant they got, which is already in the money as it is a $.40 warrant. So to sum up - this financing really stinks, and the full warrant is the ass-end stinkiest part of it all. I just don't see this stock moving until all the pigs have fed at the trough, and the market can absorb all the selling from these fast money bozos that got in on this financing. We'll need a lot of volume to eat through their BS naked shorting, and hopefully this call tomorrow can help with that. I can't believe that management is surprised by this shorting as they were the ones that provided the giant can of gas to pour on the fire by agreeing to these really idiotic financing terms.