Did the dd on the converts. $35 mill US or 47.25 cdninterest rate 8.5%. 75% of which--if the company wants--can be paid in shares. That's 4 million shares of dilllutiion a year at a 75 cent share price if one assumes 4 mill year cdn interest expense.
At least the shares aren't do until oct 2026 at a convert price of 1.08 a share---which I think is the US dollar price. which would be 32.4 shares. But at that point in time--if the shareprice is lower than 1.08----the holders would want to take cash rather than shares. Good for the dilution if buy oct 2026 the company can come up with the cash without further dilution. But of course we all know better.
iBasically they are issuing 4 million shares a year to keep from paying 3 million dollars cdn in interest at todays shareprice. But of course such dillution is a drop in the bucket compared to what this management has unleashed upon shareholders.