Posted On: 03/15/2015 11:35:34 PM
Post# of 30038
Re: Daveludlow #18316
Well, hell... let's RS it to $10 or $20 per share and really give ourselves some buffer against de-listing, and make the margin buyers happy in the process. I tend to think margin buyers would rather buy twice the shares at half the price rather than buying the same number of shares at double the share price, with the added risk of the margin loan that amplifies loss if the price moves significantly lower.
I posted about this previously. The concern over de-listing is mostly unwarranted as there is already buffer built into the process. I'm not suggesting a $2 price, but $2.5 to $3 might be more in line if a RS is necessary. You were previously posting a $5 to $6 range to allow investors to buy on margin. I seriously doubt that's on Gerald's agenda, given it would cater to the risk takers and screw over the current investors with an excessive reduction in shares (but still maintaining same % ownership), assuming he does some level of RS to get there.
All of this will be a moot point if catalysts get us above $2 without a RS. If that occurs, are you suggesting he would still do a RS to give additional buffer and allow for margin buying?
http://investorshangout.com/post/view?id=1630020
I posted about this previously. The concern over de-listing is mostly unwarranted as there is already buffer built into the process. I'm not suggesting a $2 price, but $2.5 to $3 might be more in line if a RS is necessary. You were previously posting a $5 to $6 range to allow investors to buy on margin. I seriously doubt that's on Gerald's agenda, given it would cater to the risk takers and screw over the current investors with an excessive reduction in shares (but still maintaining same % ownership), assuming he does some level of RS to get there.
All of this will be a moot point if catalysts get us above $2 without a RS. If that occurs, are you suggesting he would still do a RS to give additional buffer and allow for margin buying?
http://investorshangout.com/post/view?id=1630020
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