All of that is total guesswork. I agree that this is where we need to discuss like adults the tough issues. So let us have a conversation. First of all, the Q3 does not show much of anything new. Even the excerpt about the Ironridge investment (which by the way is the financial firm loaning them money) getting 150 series A pref shares for $50,000 along with a $1.45M stock subscription receivable does not even make any sense. The question I have is : was the pref stock rate of conversion changed?? It was 30 common per 1 pref share and I would have thought that did not change, but if it did not change then how can one equate the $50,000 to only 150 pref shares, which * 30 is only 4500 common shares which is less than $9 worth of stock right now. Yet the pref shares table in the Q3 has not changed other than that entry from the Q2 report. The series A pref share balance is still at about 12M. It is clear Ironridge already received 143.5M common shares in exchange for about $700k. On top of that it looks like they went into some kind of stock purchase plan financing over time about $1.5M but so far they have only received 150 pref shares for $50,000 which makes no sense. All it tells me is we cannot really obtain much detailed knowledge about the second part of the Ironridge financing without seeing the actual contract terms and/or the 10K. Everything else is just total speculation. At this point all I can say is, I have no idea anymore what is going on behind the scenes without a 10K. The float is now at about 1.5B, that includes the recent Ironridge common share (initial) issuance. Even if you assume the company will not progress and the stock will go basically no where in over a year and the 200 DMA at .003 will remain then for Ironridge to get paid back all $1.5M with future shares to be issued, without any return, then $1.5M/.003 is about 500M shares which brings the O/S of 1.5M currently to the A/S at 2B. Even with that incredibly negative future projection the increase in the O/S could be absorbed by the current 2B A/S. If you happen to think though that the 200 DMA will be consistently lower a whole year or year and a half from now, say at 0.0015 or so all the while the issuances are occuring at a lower cost basis, then that would mean greater amounts of stock issued and in that scenario it could run into your scenario. But if you consider that the stock could be much higher in the next year and issuances occur at higher prices which means much less stock issued to Ironridge to pay for the financing then the total eventual issuance would be sized LESS than 500M, not equal to or greater. So IMO stating definitively that "there is no room" is wildly speculative at best. Over time Ironridge has zero incentive to dump sell tons of shares on a puny bid pushing the stock lower and lower and destroying their own long term investment. They sought out to properly finance this company so it could grow and their stake could grow in value as a long term investment. Just my opinions.
GLTY
$RFMK
