I believe the point JP was trying to make was that
Post# of 30028
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I believe the point JP was trying to make was that if you are not continually adding to your position, with an increasing outstanding share count, your ownership stake is gradually being reduced.
I will wait to see if that was JP's point.
Now to your example of ownership.
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Say you were holding 1m shares then, you'd own 1% of the company!
Now... If you were to still be holding those 1m shares, and the share count is roughly ~760m, you now only own 0.0013% of the company.In order to have maintained that 1% ownership from before, your holding would now have to be ~7.6m.
I'm sure it was a typo Brick but it would be 0.13% ownership, not 0.0013%. That would be some serious dilution there.
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As you can see, your stake would be greatly reduced due to the dilution. I'm sure you understand this, but I just wanted to clarify what I think JP had meant
People tend to get lost in dilution, or dilution with value. Ambs has used the dilution to bring the company to its feet and it is almost ready to run. What your interpretation of what JP said to me fails to take into account in the value I have gotten with the shares that I own. Granted I own a smaller % now, but the company is in a better position in every way. Plus for someone to have the same ownership stake that I have, at current market price would be 750% of what I paid originally. Not bad for 2 years and small potatoes compared to the upside potential.
Any more dilution will have value. I'll just close with a quote from Warp.
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So it seems reasonable to conclude that since funding conditions are substantially different than the last AS increase, the additional shares will be used for strategic acquisitions and potential spinoff of the diagnostics division. I feel the concerns over additional dilution for funding going forward are not realistic, as we are in a much better position now than anytime in the past. CFO Robert Farrell confirmed this and stated in the latest business update call that the company is in the best financial shape it's been in the last year, and that the additional R&D costs anticipated can all be funded with the existing LPC funding.
Thanks Brick for you posts, were all just having fun while making money I hope.