Posted On: 10/21/2014 6:15:04 PM
Post# of 2009
Re: Carsmax177 #497
Actually, re-read what you said and I think it might go more like this
The debtors are not issued shares; ECV pays the debtors the value of the debt purchased. Only ECV receives the shares.
In other words, with the shares issued, ECV sells the shares as they are issued, from each traunche, and they pay off the debt to each debtor clearing the company of the debt and allowing them to proceed with what they were tasked to do.
If any of the debtors received the shares they would be subject to the 144 rule of the SEC and the shares would have a restricted time before they could be sold on the open market.
Make sense?
The debtors are not issued shares; ECV pays the debtors the value of the debt purchased. Only ECV receives the shares.
In other words, with the shares issued, ECV sells the shares as they are issued, from each traunche, and they pay off the debt to each debtor clearing the company of the debt and allowing them to proceed with what they were tasked to do.
If any of the debtors received the shares they would be subject to the 144 rule of the SEC and the shares would have a restricted time before they could be sold on the open market.
Make sense?
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