GREY:ATIVF - Post by User
Post by
davproon Nov 29, 2010 2:09pm
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Post# 17771618
What investors really need to be concerned about
What investors really need to be concerned aboutIs the fact that the company is warning about substantial dilution. That is just about the only thing that will affect their investment in the short term. FWIW I think the comapany would be wise to do about a 25:1 consolidation which would bring the outstanding stock down to 10 million and the sp to .50 they could then do a 50% equity financing for .45 and raise 4.5 million dollars... obviously this would be extremely dilutive to existing shareholders and essentially reduce current shareholders equity by 50%... but that is likely why they are warning about substantial dilutition.