RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Question FYFTMI wrote:
you are right about the o/s of PUF, but just getting PUF's 20% only gives DOCC 10% of PSC, but the $2.24 is with additional shares of PSC included (which is about 10%), so they are walking out of the deal with 20% of PUF AND 20% of PSC.
Okay, I guess if you look at it that way. Now, is it as a whole or part, that's anybody's guess. I'm not aware of any similar deal in this sector to compare this to. I have seen a few being done in the O&G and mining sector which I invested in. Either the fund goes to directly to the project or part of it being used as PP and the rest to the project. Either way, the company that puts the most money in gets the biggest piece of the pie and the PP not much higher or even less than the SP at the time of .
When it got down to the .40s, I was worried. Not really my investment but after the last NR, they need money to fund the PSC greenhouse. With SP that low, any PP around that mark would really in big dilution. And if all 40M really will be needed for the the PSC greenhouse, massive dilution. For DOCC to invest 40M and came out with just that, they must be very bullish. 40M was more than entire MC of PUF at the time, fully diluted. Theoretically, they could have 100% of PUF and 50% of PSC with that. Of course, that's not easily done but they can easily get much more than that. How many would have voted yes, had they offered to buy their shares at $1 when it was around. 40 - .50? I know a lot would. My company was easily worth $3 but majority voted yes to the buyout at $1 when the SP was around .50 thanks to shorts and greedy big shareholders driving down the SP. Before the vote, I thought nobody would be stupid to, but guess not. For the ones that got in at the low point, a double was good enough for them.
Anyway, stock market is always a gamble. Proceed with caution. Good luck to all. I hope everyone makes money.