GREY:NDXFF - Post by User
Comment by
jimrockfordon Feb 07, 2011 4:19pm
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Post# 18089148
RE: RE: Diluted stock
RE: RE: Diluted stockWell, it's something I've written about in both my posts and on my jimrockford blog. Neil and people close to him did a LOT of financing in-the-market. This means, they'd sell shares into the market in order to take down financings - and gain the warrant. Wash, rinse, repeat - and repeat, etc., etc. In the end, Neil cronies, by beating up the market this way (as these were not new monies in the financings), now have a lot more shares than they would otherwise have. So what have we ended up with is a lower share price than we should have - and a lot more dilution.
Remember also, that the BOD of NDX back in the spring of 2010 had sold most of their shares into the market. Having fattened their wallets and hurt the SP, they then were faced with the problem of hardly having any shares. Not to worry - they took the options promised the OceanPoint Group, the guys responsible for bringing the SP from 5 cents to 42 cents - and didn't re-sign them. The stock then foundered badly - and NDX had to do things at much lower prices - which hurt the company.
Re the above, why would there not be a Neil MacDonald discount on this stock? It is impossible to say that the actions of Neil M and board have not hurt shareholders.
Now, with Sandstorm's badly needed help, I believe the company is in good shape - but it's nowhere near where it might have been had the above things not occurred.
Oh...and as stated before here, the OceanPoint guys are now big fans of ALYI on the otcmarkets.com - and have continued to be friends of NDX - despite the way they were treated.
Cheers.
Jim