There is something very interesting in the proxy filed on November 4.
During the period of time from October 1 to October 30, the stock dropped from $1.39 to $0.44. And the issued and outstanding shares during the same period went from 9,319,747 to 10,447,753.
I assumed this was the result of Magna converting its toxic Series H shares into common and dumping them on the market.
It isn't. They only converted 35 Series H shares during that time period per the proxy.
35 shares of Series H at $1,000 a share is $35,000. For just argument's sake, if you assume that they converted those at the lowest price ($0.44), that only equates to 106,061 shares of common that Magna had to dump on the market.
.75 x $0.44 = a conversion price of $0.33. $35,000 divided by $0.33 is 106,061 shares.
So, why did the price go down and the issued and outstanding share count go up?
I believe that AMBS must be offering shares at the market to raise money pursuant to the shelf registration. To the tune of 1,021,945 shares.
If that is the case, the company rather than Magna is depressing the price of our stock.
Welcome all thoughts and alternate theories on this.
During the period of time from October 1 to October 30, the stock dropped from $1.39 to $0.44. And the issued and outstanding shares during the same period went from 9,319,747 to 10,447,753.
I assumed this was the result of Magna converting its toxic Series H shares into common and dumping them on the market.
It isn't. They only converted 35 Series H shares during that time period per the proxy.
35 shares of Series H at $1,000 a share is $35,000. For just argument's sake, if you assume that they converted those at the lowest price ($0.44), that only equates to 106,061 shares of common that Magna had to dump on the market.
.75 x $0.44 = a conversion price of $0.33. $35,000 divided by $0.33 is 106,061 shares.
So, why did the price go down and the issued and outstanding share count go up?
I believe that AMBS must be offering shares at the market to raise money pursuant to the shelf registration. To the tune of 1,021,945 shares.
If that is the case, the company rather than Magna is depressing the price of our stock.
Welcome all thoughts and alternate theories on this.
