FULL DUE DILIGENCE: 'D' shares PR from CDFT The CDFT RUBIX

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FULL DUE DILIGENCE : 'D' shares PR from CDFT
The CDFT RUBIX CUBE...

Convertible Preferred C & D Facts on CDFT:

(1) these are cumulative dividend based securities according to their Articles of Incorporation.
(2) these securities are all priced @ $2.50 per share
(3) they both convert at the par value of the public company.....00001 par
(4) the company is registering at least 1 share from every shareholder , based on proof
(5) the registration would encompass securities from both classes
(6) A registration statement is broad based, must be over 30 shareholders
(7) The company needs 400 shareholders who own 500,000 in the float to be AMEX company
(8) naturally our shares will be part of the 400 shareholders, as CDFT does not have enough
(9) both series of preferred stock are Anti Dilutive
(10) any further conversions of stock above and beyond the registration will require the occupant to hold the security for 6 months........extremely fair

FACTS:

According to the AMEX rules, CDFT must have 400 shareholders who own 500,000 shares or 800 shareholders who own 1,000,000 shares in order to meet their qualifications. Their are only a handful of professional advisors, management and other affiliates that own the C Preferred Securities which would likely be part of a registration statement as well. The company must register everyone's shares in the float to meet those obligations. Remember if they were to reverse the security, while they would still end up with the same amount of stockholders , the amount of shares each of us would own would not be enough to satisfy the requirements to up list. We are now on the launch pad, we can say that for certainty, because the issuance of these preferred shares to each of the investors is a requirement for them, if they intend to keep the integrity of the amount of shares each investor must actually hold. They have to register everyone's stock because in the case of a R/S or Acquisition , in either case, the registration creates new freely traded securities at the new price of $2.50 per share. These guys are absolutely brilliant. This is financial engineering at it's best, unequivocally brilliant.

To all the LONGS out there, they HAVE to register everyone's stock at the same time because according to the AMEX rules, they must have a broad based float that owns no less than 500,000 to 1,000,000 shares at $2.00 per share. Those are the rules. CDFT knows that if they either reversed the stock or were acquired, it would either lower the amount of shares we owned or create no trading public float in the latter. This my friends is the GOLDEN GOOSE, and it laid it egg on those who don't own any stock. This is brilliant and the DETAILS.......well here is one detail for those who think they actually have a choice in the matter:

(1) should CDFT be acquired by another company quoted @ $2.50 per share, all your common shares will be turned in for the new company, they will cease to trade, the company is forced to register 400 shareholders to stock to meet up list requirements.......so everyone does not own CDFT stock anymore.....it won't trade!!!!

(2) should CDFT R/S it's stock, all us longs who have sent our records in before May 13, 2013 will own anti dilutive convertible preferred stock, which the company has to register, because the R/S would wipe out everyone's cumulative holdings. They have to register a minimum of 500,000 shares from 400 shareholders to up list. We are part of that because there are only a handful of insiders and advisors. Those who don't participate are SOL because in the RS they don't have any preferred to protect them, won't have their securities registered and will likely see their investments eliminated.

So that leads us to this fact: THERE ARE NO OPTIONS HERE!! if you think not accepting the preferred is an option, in both instances, it's not, it's either you get them by default in the case of an acquisition, or you get them by having them sent to you for FREE, which could preclude a RS. Either way, CDFT 's advisors are pretty smart, and they know it, they know a RS would create an avalanche of pre selling, and we longs also know that if we sold it, we are likely to lose our money, so waiting till May 13th, which coincidentally is the drop dead date for retirement of Gary's common shares, is deft skill, they think the PPS is likely to go up and could go up knowing that everyone has until May 13th to show & tell. After the 23rd it's anyone's guess what happens, but either WE ARE ALL ALONG FOR THE RIDE, and I LIKE WHERE THIS RIDE IS GOING!!!!

This is real, real SKILL ladies and gentlemen. None of us here who owns our common right now will actually ending up owning the same stock when it's all said and done.....whether it's a RS or Acquisition. In either case, we will own something far more valuable, when the dust clears.....the AMEX rules demand it, to meet the distribution requirements. Our common shares we can sell them after May 13th...... they don't care if we do.....come on guys, wake up!!! They don't care because those shares don't count for anything as far as they are concerned. And you know what, they are right. Sure we can make a couple dollars selling them when and if the price goes up, but there is no BONANZA there. This is not LET'S MAKE A DEAL.....where you give up your common for something behind the curtain that could be worth less than what you have. We already know what's behind the curtain, you just have to connect the up list dots to know that they need the distribution requirements, because if they were acquired or reversed, they could meet every other requirement in a New York minute. They have to take us along for the ride, because it's clear, READ THE REQUIREMENTS:

(1) THEY NEED 400 shareholders or 800 who own 500,000 or 1,000,000 in the FLOAT!!!

This is BRILLIANT, it's not confusing in the least....Was the rubix cube confusing, or were the people attempting to figure it confused? And by the way a 14 year old showed us all how to figure it the rubix cube.

If anyone reads this post, and has not seen the light after my dissertation, LIGHTS OUT to them. I am thoroughly thoroughly pleased and after calling the company, I can say I figured out the rubix cube!!!

FULL CREDIT TO RIGGLER... LET HIM KNOW YOU APPRECIATE IT!!!

 

Citadel EFT Inc (CDFT) Stock Research Links

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