As I was not happy with recent Capital Raising so I sent an email for some explaination....
Hi Micheal,
I certaintly looking forward to have the discussion with you in 12 months, see how much add value you guys will create for us long term suffering shareholders.
As at the moment all I can see is my hard earn money disappearing very fast.
Why you guys do capital raising at .005 when ISN already done $10.6 million agreement with Bergen?
We received very many requests from shareholders that they wanted to participate in the fundraising for the company, so we offered a Rights Issue. The stock was trading at $0.008, so the broker advised us that the theoretical ex-price should be $0.007 (the combination of the actual stock price for new shares plus the price of the options that are also offered). Consequently, the actual price of the offering is $0.007 if you include the options.
Many of the small shareholders (none of the larger ones except for one) complained that the Bergen deal wasn’t shareholder friendly. So, once we complete this Rights Offering, we will postpone the Bergen deal (possibly indefinitely). The Rights Offering gives the company cash up front versus a monthly draw. It enables us to accelerate milestone achievement by about 6 months.
I have invested nearly $150,000 of my own money in ISN and am committing another $182,000 in the Rights Offering. I am one of the 10 largest shareholders in the company. I see things that you can’t. I have assembled one of the best management teams in the respiratory medical device marketplace and am betting with my own money that we will increase shareholder value ten fold over a 24 month period. We are on the verge of initiating a very aggressive Public Relations and Investor Relations campain in Australia and in the US. Anyone getting into the stock now will be rewarded. The selling is short term. The company founder (an Israeli physician, whom I fired several months ago) had dumped a decent portion of his stock. This artificial selling pressure will abate very soon…
Michael J. Thomas
Chief Executive Officer
iSonea, Limited
ISN Price at posting:
8.0¢ Sentiment: Hold Disclosure: Held
