However you have left out one significant item, and that is the conversion of the CN's.
IMO the resolution of the BP issue should have moved the SP from mid 1's to at least 2. This was the axe hanging over the company and they closed it off for a couple of mil, a very good outcome imo. Yet the SP went the other way, and the company did little in trying to stop it. Why?
IMO they let the SP get smashed so that the inner circle could average down big time. They knew sentiment was low, so not only did they take up their rights, but they also converted loans to shares, picked up shortfall of CR through appling for additional shares, and through the conversion of their CN's. On top of that they issued another $600k+ worth of scrip.
The conversion of the CN's would have made very little difference to the company's financial position. The big difference was with the note holders. They lost the little security they had and the ongoing interest. However in its place they now have shares that they can liquidate quickly.
Note that the majority of the CN's were held by the inner circle, ie directors, their families and friends. So why did the inner circle forgo their security and interest?
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