Hmmm, thanks for the reminder Prolifix. When this was announced...

Hmmm, thanks for the reminder Prolifix. When this was announced a few of us (sorry don't remember exactly who) raised concerns about the facility. Us few had some experience with this type of facility where money was provided and then the loans were subsequently converted into shares (in tranches). At each conversion, the share price (based usually on 5 day Vwap) was lowered in the lead-up, meaning the loan company received more shares, and these were subsequently dumped on market with a resulting further reduction in share price. Rinse and repeat. The company's that I can recall include GGP and INT both of which no longer exist (and yes IMO I believe both of these companies were severely impacted by the credit facility).

Do your own research on this one, and don't get caught up in the hype.