Heres a scenario that could be in play, page-2

Ok .... here's a blonde question re: CR and shorters ... hehe

If I am a shorter and I have borrowed 1 million shares from company XYZ and sold them (obviously) and company XYZ now wants to uptake its 1 for 12 offer @$1.40 - what happens? This scenario assumes they can enforce the entitlement offer upon the person or company they lent their shares to ??

The applicable date re entitlement is 24 Aug ... if I am a shorter I don't own the shares as at this date so I can't uptake the offer on behalf of company XYZ ? Neither does company XYZ (technically) cause they leant them to me and they are sold ?

Is this a really smart move by MSB to perhaps not only reward loyal shareholders, but to also punish shorters by costing them dollars as they will need to buy shares on market if the lending company wants to uptake this offer ? Sure company XYZ will need to pay the shorter $1.40 for each share they want that they would have been entitled to uptake, but given the high percentage of shorters in MSB won't this put a demand on shares on market once we open on Tuesday or over the coming days ? Won't they (the shorters) have to buy on market these additional 1 for 12 shares on behalf of company XYZ (in this example) - therefore 83.333 shares. If there are approximately 20 million shares short sold and these 'lenders' all say they want the additional shares won't the shorters need to buy approximately 1.7 million shares on market on behalf of their lenders and stump up the costs above $1.40 per share ?

I know I am blonde and maybe I need more coffee, but I thought I would throw this scenario to the forum for opinion ? This would make sense to me if company XYZ want their 1 for 12 share entitlement ... could have the bull totally by the horns but hey it seems a possible scenario??

@stockrock @The Yankee @antibody

Anyone... Someone please put me out of my misery ... LOL