RE:RE:Easy to manipulate the share price.Hi simplycanuck
Yes if you had posted this yesterday i could have thought that you were right but today
after reading that a new PP at 0.065c and flow through shares at 0.08c and full warrants good for 3 years i am now certain that the price was manipulated down to 0.05c and the manipulators missed the last sale of the day and by error the price closed at 0.06c.
Now management can claim that the PP was done at a premium to the closing price .
Now if you think that the PP was done to add value to old shareholders please ask
management to participate .
I think that if the PP is less than 10% of market value not many rules apply and anybody can participate.
And why pay 6% fee to a broker that has no effort to sell at a discount the co.
After asking to participate if the answer is that you are too late you could conclude that the PP
wasn't done to add value for long time shareholders but was done for outsiders or Pershimex or management to buy 10% of Abcourt at a discount.
There might be other reasons for the PP but i can't think of any that are good for long term
shareholders.
The result of all this is that Abcourt could delute by 18% with the merger and another 10% with the PP. and also 10% with warrant in 3 years.
That could mean 38% dilution and this could really be only the beginning.
And if you had the PP that can be done in the next 2 years we all time shareholders that had 100%
of the co could be diluted to 30-40% of the co at a discount.
Mr Hinse and Mr Mestrallet and long time shareholders could loose all control.
Please feel free to express your opinions.
Fernand