Ann: Controlled Placement Agreement, page-2

Does anyone understand this facility?

The terms of the facility look as though they are all in EHH's favour. It looks too good to be true. Why is this facility of benefit to Acuity Capital?

I am not sure, but I am suspicious. It looks as though this could be on open invitation for Acuity Capital - or an associate - to short sell the stock. The execution of the facility enables delivery into the short sold contracts.

This smells to me.

I would appreciate other comments and views.