RE:RE:RE:The good, bad and uglyWhen the deal was announced (March 6), UAV traded @ $0.15. That’s when the share portion should have been locked in. 12 Mil shares instead of 15 Mil shares or more. An extra 3% dilution doesn’t sound like a lot but it is.
Unless AIR has sales in excess of $2.4 Mil with great earnings, AIR clearly out-negotiated UAV.
I also don’t like the way UAV announced the Q1 results in their NR. Single focus on sales and not a word about expenses which are growing faster than sales.
There is no more near term money coming from warrant exercises which means they have to get their expenses under control or risk further dilution.
Share based compensation is completely out of whack. $380,000 on revenue of $350,000. That’s a bad joke in my books to put it mildly. A better way of putting it would be “out of control insider greed”.