Blended in from all of the comments is the important fact that;
We need money to sell the guns.
Pretty simple really.
So;
YES, we will be diluted.
YES, we need to sell some guns.
YES, to date cash has not rolled in from sales.
YES, shareholders have had many opportunities to prevent dilution by puting in cash to help generate the sales, but few did and not enough to really get MST up and running and focused on sales.
YES, there are contacts which will produce cash OVER TIME. When you spend money today and get more back tommorrow, that's called investment!! If you spend money today and expect more back today, that's called gambling.
Do you really think, we can make a sale and they'll throw $10m in the tin on day 1? Anyone who believes that, tell 'em their dreamin'.
On the issue of shares at 0.005; there is no specific reason for the price to be here, except for the fact that it is. It is far from the 'value' of the company (see previous thread on probability based valuation). It's there because a couple of people have driven it there. I suspect 1 or 2 of the top 20 may have bailed on their entire holdings on single days. Specifically, when volume was high and the price was hit downwards. These days include (all 2011) 20th May, 18th July, 9th August. Notably, each of these was right before a significant event, The AGM, the announcement of Canada Small Arms Replacement and then Force Protection Contract, respectively.
Now my assessment, for what it's worth, someone has a vested interest in the price staying low. And evey person who bails here is playing right into their hands. You're making us all get diluted for bugger all and preventing those options we got for free in the rights issue from puting cash into the company and building our own personal stakes.
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