js report, page-78

I think that it would be worthwhile for an issue of 1Share to 2 free option tranches.

First the free share at say 6 - 8cents
Then Option 1, priced at around 10 cents for a big thankyou (a good reachable/enticing carrott at that)

and then the second Option a tad highger.

Any options issue in the teens will see a cascade of sales after MAE hit 13cents.

Mae could very well have fenced in their price IMO.
They therefore need to find a way to overcome shareholder fears of a psychological sell-figure
(so that there is no cascade in price, due to sharholders expecting Soph/Investors to dump and recoup their monies after taking on higher disappointing prices).

The company will need to offer tranches and escrows IMO to overcome this fear and they are taking some extra time to figure it all out IMO.

The diliutionary aspect of a rights issue etc has investors twitching rightfully and the companby will need to somehow set the jelly with long term incentives and some structured protection from dumpers and manipulators who might be invited into this next round of raising.

Escrow and options (not too far out of the money so as to be a smart investment.....but not too low so as to entice ramps and dumps).


All the best from the next day or so's reading.

Cheers

Lautrec