article in bloomberg, page-27

Hi donedeal,

Pls allow me to explain as I think u got me a bit off there. And I will come back and reply to the others, as it seemed that my comments had created a big hurraahhh in the Thread.

If 50% of the Project or Company is sold in exchange to the new Capital/Ownership, it's either they will issue more shares for that amount, which will dilute the total number of shares issued, thereby in effect diluting the relative value of each original share.

They could also, do the other way, where they could maintain practically the same number of shares but consolidate the original issued shares first to allow for the additional ownership allocation in the Market Capitalisation of the Company. However, in both cases, the relative value of each original share will be affected on the negative side.

If the additional ownership is say 50% of the total, then the original value of shareholdings will be affected by almost that much.

If everything is equal, the SP in this case is irrelevant, it's the relative value of each share to the total Market Capitalisation is important at the end of the day.

Cheers donedeal,

RVINTL