Mega Brands Inc MBLKF

RE: Share

[llennn]

2^nd thought:

I would not purchase the Warrants at this time, the Warrants are a secondary product so they should follow behind the share price. As of today the warrants are .195 cents x 20 = $3.90 and the cost to convert are $9.95 (MB) and app (.05 for the cost to bank/institute for processing , this depends on volume converted) so its $3.90 + $9.95 + .05 = $13.90 but share price is only $10.15 and you will need to covert by 2015. Question, what would you do if the share price is under $10.00 @the time you would like or need to convert. You will be paying $13.90/share for stock that is worth under $10.00. I would not buy warrants until they trail share price, another words share price is say $15.00 - ($9.95+ .05) = $5.00 / 20 warrants = .25 for each warrant, so price per warrant is less than .25. If I paid .17, .20 or .30 I would try to start converting if the share price gets above $14 or so instead of waiting for 2015 and then sell a % 0f stock into strength. The share price is set by earnings and I would think we would need 4 quarters of positive earnings in order to fix a price.