From my experiance with the companies I mentioned they go hand in hand with a massive dilution as they don't always give a loan as such. They get shares at a discount which they dump on market. This can lead to a slump in the shareprice, meaning they get even more shares for the next tranch of the "loan". It's a wicked cycle.
Lodiac, yes I'm involved with DYE. They have a new investor now called Tasnee. A big Arab "investor" who is supposedly prepared to pump upto 20 Million into the company. The dilution for the shareholder is terrible, but the alternative is the company going bust.
Anyway, I hope all goes well for cfu and you don't get an Investor who is a wolf in sheeps clothing.
CFU Price at posting:
5.8¢ Sentiment: None Disclosure: Not Held
