Ann: Controlled Placement Agreement, page-14

They wouldn't be signing up for a deal like this if they weren't foreseeing some shortfall in cash.

The Bergen + KFE agreement allowed KFE to issue shares directly to Bergen for cash from Bergen. Near identical to the PNN agreement.

Bergen received the shares at a discount to the going market price at the time, which they could then sell on-market immediately to recover that cash. Of course they could have held the shares, but they often sold them within the first few days of issuing.

The result was more shares on-market for quick cheap sale, quickly dropping the price and seriously hurting the market cap of the company.

Again though, means I can buy more on-market cheap (positive - for me at least) but most other shareholders suffer, especially those that paid more than the market price at the time of issuing.

On a positive though, once KFE finished with Bergen, the share price (and market cap) increased nearly 7 times within a couple of weeks. Went from one of my smaller holdings by value, to one of my largest very quickly.