RE:RE:Coming soon to a theater near youMukulu20 wrote: Unfortunately, system is lopsided and rigged against shareholders, that allows share dilutions for sick and unviable companies. There is no economic rationale to support such practice which is essentially thievery. Theft of shareholders funds. I am sure some here find their shareholdings worth almost nil particularly those with high average.
Any company can raise funds by issuing new shares. It's one tool all companies have. And Hexo is no exception. Right now, Hexo is under to the tune of 50M/Q. In order to survive, it will have to dilute its shares to cover that deficit. The other possibility is that another company (Tilray?) might buy it. But if Hexo's shares keeps tumbling down, there is no incentive for Tilray to buy it now, if ever they are going to do that.