SC: The 0.0003 rate applied to conversions in 2013
Post# of 36729
Posted On: 06/26/2014 10:43:27 AM
Re: StephCurry #35687
SC: The 0.0003 rate applied to conversions in 2013, as noted, and in 2014, as well, as noted. There is substantive precedent. The rate could be higher or even lower, but 0.0003 as the working number therefore seems more justified than not.
It's obvious from Q1 2014 and the $1 million demanded for consulting fees (for what, pray tell?) that IEquity Corp. wants their pound of flesh plus some. (A gluttony now accompanied by ruinous indigestion.)
PS: There was an oversight in the prior calculation that understated dilution by 4.5 billion shares.
From SKTO Q1 2014
Part I
"...there were a total of 737,940,303 common shares issued and outstanding at December 31, 2013."
"...there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
They added 130,000,00 to O/S in just 3 months ( 43.3 million per month).
Part II
"The price at which the shares were offered, and the amount actually paid to the issuer: As noted above, the shares issued during the quarter ended March 31, 2014 were issued for principal note conversions of $39,000."
$39,000 / 130,000,000 = 0.0003 per share conversion rate.
"Through the quarter ended March 31, 2014, a total $57,375 in principal of the note was transferred to unrelated third parties, leaving a balance due on the original note held by I Equity at $392,625. On January 1, 2014, an additional $600,000 in accrued consulting amounts payable to IEquity Corp. was converted into a promissory note in that amount, which remains outstanding."
"As of March 31, 2014, a total of $1,070,466 in short term convertible notes remained outstanding, on which a total of $83,437 had accrued as interest. In addition, two notes in the amount of $30,000 each, dated October 1, 2013 and January 1, 2014, payable for consulting services previously rendered, remained outstanding as long-term liabilities, on which a total of $2,236 in interest had accrued as of March 31, 2014."
$1,070,466 + 83,437 + 60,000+ 2,236 = $1,216,139 as of March 31, 2014
$1,216,139 / 0.0003 = 4,053,796,665 shares by conversion
4.053 billion + 900mil (March 31 O/S) = 4.953 billion.
Call it 5B for ease of computation and understanding.
IEquity Corp. preferred shares grant 60% control of SKTO regardless of size of O/S. Thus, if IEquity were to exercise the preferred @ 5B O/S, that 5B would necessarily represent 40%.
Hence, to achieve 60% control of SKTO O/S:
5B = .40X
X = 5B / .40
X = 12.5Billion (O/S required for IEquity to maintain 60% control if IEquity converts their preferred shares on top of conversion of its promissory note @ 0.0003)
###
http://investorshangout.com/post/view?id=1606264
It's obvious from Q1 2014 and the $1 million demanded for consulting fees (for what, pray tell?) that IEquity Corp. wants their pound of flesh plus some. (A gluttony now accompanied by ruinous indigestion.)
PS: There was an oversight in the prior calculation that understated dilution by 4.5 billion shares.
From SKTO Q1 2014
Part I
"...there were a total of 737,940,303 common shares issued and outstanding at December 31, 2013."
"...there were a total of 867,940,303 common shares issued and outstanding at March 31, 2014."
They added 130,000,00 to O/S in just 3 months ( 43.3 million per month).
Part II
"The price at which the shares were offered, and the amount actually paid to the issuer: As noted above, the shares issued during the quarter ended March 31, 2014 were issued for principal note conversions of $39,000."
$39,000 / 130,000,000 = 0.0003 per share conversion rate.
"Through the quarter ended March 31, 2014, a total $57,375 in principal of the note was transferred to unrelated third parties, leaving a balance due on the original note held by I Equity at $392,625. On January 1, 2014, an additional $600,000 in accrued consulting amounts payable to IEquity Corp. was converted into a promissory note in that amount, which remains outstanding."
"As of March 31, 2014, a total of $1,070,466 in short term convertible notes remained outstanding, on which a total of $83,437 had accrued as interest. In addition, two notes in the amount of $30,000 each, dated October 1, 2013 and January 1, 2014, payable for consulting services previously rendered, remained outstanding as long-term liabilities, on which a total of $2,236 in interest had accrued as of March 31, 2014."
$1,070,466 + 83,437 + 60,000+ 2,236 = $1,216,139 as of March 31, 2014
$1,216,139 / 0.0003 = 4,053,796,665 shares by conversion
4.053 billion + 900mil (March 31 O/S) = 4.953 billion.
Call it 5B for ease of computation and understanding.
IEquity Corp. preferred shares grant 60% control of SKTO regardless of size of O/S. Thus, if IEquity were to exercise the preferred @ 5B O/S, that 5B would necessarily represent 40%.
Hence, to achieve 60% control of SKTO O/S:
5B = .40X
X = 5B / .40
X = 12.5Billion (O/S required for IEquity to maintain 60% control if IEquity converts their preferred shares on top of conversion of its promissory note @ 0.0003)
###
http://investorshangout.com/post/view?id=1606264
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