I'm not quite sure about the financial reality here. If MST have 2 billion shares on issue and the current value is $0.004 then the value of MST is $5 million but they are selling $13 million secured notes. I always thought secured notes had to be within curent market value. A bank wouldn't loan to a someone more than the estimated market value of their assests.
MST must have done some fancy talking or there is strings attached we haven't been told.
My take on this is that the financier gets control eventually of MST and the deal is expected to lift the share price with less finacial uncertainty and the major current shareholders leave with a higher sp but huge loss.
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