OTCPK:KATFF - Post by User
Comment by
Katangaon Jun 13, 2019 1:17pm
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Post# 29823094
RE:RE:debt for equity, dilution and reverse stocksplit
RE:RE:debt for equity, dilution and reverse stocksplitMy understanding is that KCC doesn't owe KAT anymore. That was the whole thing from last year. KCC was getting crushed under the debt. KCC issued more shares to KAT and converted that KCC debt to equity with Geca getting free shares to stay at 25%.
So now, KAT has more shares of KCC and only KAT owes Glencore.
So the next step is Glencore gets more shares of KAT. There is nothing else they can really do, other than lending more and charging interest.
What I was trying to say is that under the current situation, the first money that comes in goes to pay debt and interest, we are left with nothing. IF the KAT debt is converted to equity, at least we might see a few pennies in dividends.
IF they issue some type of new class of share with rights, etc., then we are still in the same boat as they can issue dividends just to themselves and not us and we won't see anything.
Who the h$%& knows.