(Total Views: 665)
Posted On: 01/05/2017 9:42:16 AM
Post# of 15187
Another point - company has little to no reason to file right now. Bulk majority of outside shares are probably held in close hands by people who actually speak with the company directly and understand the situation. They may not agree with all actions or communication but understand the situation. Company can actually be more up front with communication with individual investors since information can not be acted upon through trading. Stock cant be manipulated up or down and conversion simply cant happen. There is no cost to file regular reports or outside auditors.
On the downside they cant raise money through issuance if stock and the longer it goes - even long term investors will start to lose trust/patience. That is the lone thing KBM is counting on. What else is there? If they have no money, no real business, and are fighting to keep them from converting- what would be the point? Just end the entity.
While it sucks for outside shareholders, one still has to look at the myriad of alternatives the company DIDNT take that they could have relatively easily (and mostly legally) enriched themselves: R/s and AS increases, constant bonuses through warrants and convertible pay while ballooning the AS, etc. Further, none of the insiders ever sold shares or paid themselves ludicrous salaries or gave themselves lavish bonuses. Where would the payoff be to fight KBM if there was no company and the stock was worthless- never again tradeable...?
On the downside they cant raise money through issuance if stock and the longer it goes - even long term investors will start to lose trust/patience. That is the lone thing KBM is counting on. What else is there? If they have no money, no real business, and are fighting to keep them from converting- what would be the point? Just end the entity.
While it sucks for outside shareholders, one still has to look at the myriad of alternatives the company DIDNT take that they could have relatively easily (and mostly legally) enriched themselves: R/s and AS increases, constant bonuses through warrants and convertible pay while ballooning the AS, etc. Further, none of the insiders ever sold shares or paid themselves ludicrous salaries or gave themselves lavish bonuses. Where would the payoff be to fight KBM if there was no company and the stock was worthless- never again tradeable...?
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