Both of you sound like you have some form of finance background and experience with M&A. I'm reading your posts and seeing statements like the shareholders will be "wiped out" or some how "Motive" will get rid of the existing shareholders or the existing shareholders will not get anything out of this transaction. My background is engineering so I'm not across all this..But how does this pan out bad for the existing shareholders?
from what I gather current shares on offer are around 550M. we add another 250M ( preference shares ) share taking a total to 800M shares. So Sunny day scenario the company uses the $50M Google and all of his friends ( ali express ) use the platform... The company does well and say they sell it for $500M US.
Motive take out 2x their $50M ( liquidation preference ) and so we have $500M-$100M = $400M. Now 400M/ ( 800M shares on offer ) = $0.5 US per share. So motive take (250M * 0.5) and rest the holders get their cut..
Have I got that right? Thanks
SPT Price at posting:
7.5¢ Sentiment: Hold Disclosure: Held
