Thanks, PortfolioPlus and Yaqona, for your input.I did consider...

Thanks, PortfolioPlus and Yaqona, for your input.

I did consider the money spent but I thought that it would be negated because they are actually buying the shares. However, I stand corrected, as obviously these shares are cancelled and thus giving the shares their extra value. (A very silly mistake on my behalf!!!)


So, just some quick sums (not checked/verified for accuracy in relating to this company):

50 million company with 138 million shares.
50 / 138 = $0.362...
Buys 13.8 million on say 30 cents, costs: $4.1 million.


So now a $46 million company with 124.2 million shares.
45.9 / 124.2 = $0.36956... cents per share

Which means:

(0.39656 - 0.362)/ 0.362 * 100 = 2% increase on share price.

Does this now seem okay?


I hope I did not influence anyone with my last post... It was not intended to be misleading (and if your bought into them, I don't think you will be losing out anyway!!!)