Originally posted by Marek78
We know the basic facts, but there's always more to the story than us SH's know.
Silly clause it seems to me to have anyway, if there's a control change we'll collect all our performance shares no matter if we achieve anything or not.
Anybody know if that clause is the norm in company prospectus' or come across it before??
I'm personally not fussed either way, dilution no good, but keeping business plan on track vital here!
I think we'll leave it to the clever lawyer roosters out there to sort this one out.
22.5Million shares up for grabs.
"With respect to Performance Shares, AFI and Pegasus are claiming the following:
AFI 2,000,000 Class A Performance Shares & 12,000,000 Class B Performance Shares converting into Shares on a 1:1 basis
Pegasus 2,500,000 Class C Performance Shares & 6,000,000 Class D Performance Shares converting into Shares on a 1:1 basis (together, the Performance Shares)"
The EGM wishes to issue shares to a number of people within thenew management team although the company is yet to perform. This will dilute the share value of the company.
If the third licence is not issued for any reason- i.e the ODC’s take on the instability of the company as an example then the share would beworth zip. I believe there are better pot stocks with better management to take a punt on. Of course it may be a fate de compi as the current board may control enough of the shareholding to pass the resolutions to award themselves bonus shares. If thiswere the case then in my opinion it is time to look at better stock within industry as although they may have a potentially good processing facility it is worthless without forward contracts and manufacturing licence, an understanding of projected sales what sales they have had to date and a management team capable of executing.
(20min delay)