After receiving several shareholder correspondences regarding the price of PNOW’s stock, the Company would like to issue an update to the investment and shareholder community. The fact of the matter is, the share price unfortunately in no way reflects the current progress of Pure Hospitality Solutions. Does this concern us? No. However, are we bothered by it? Absolutely! Here is what we mean…
As many have pointed out, the depressed stock price is not based on the legitimate status of the Company; nor the realness of our product, nor the effectiveness of our management. The declining price is merely the result of an SEC mechanism afforded to Note Holders. Legally, we cannot put a halt to this process, or we risk running afoul of the SEC rules that protect these particular investors.
Is everyone aware of this problem and truly understands it ? No, though we wish they did. But, because many do not, is the primary reason why our declining price bothers us. Because not all investors are sophisticated enough to discern the difference between “market mechanics” and poor management or weak products/services.
On one hand, confidence will ultimately be restored when Oveedia is launched. On the other hand, further confidence will continue to be restored, when we initiate a mechanism to counter and curb the enthusiasm of Noteholder conversions. Over the past few weeks, we have explored a financial tool which should give PNOW’s shareholders much needed reprieve – eliminating, or greatly reducing further conversions. The combination of Oveedia’s launch and high reduction of convertible notes, should return our overall market confidence.
While we cannot go into specifics about which financial tool we anticipate using to slow the convertible debt, we can affirm that we are far into the exploration of its possibilities and could soon be approaching a formal announcement, should all go as expected.
So, please rest assured that we are doing everything that we can to accomplish our most important goal… the completion of Oveedia. Once this is done, we are hopeful that the markets will finally understand all our hard work and see a correction.
We thank everyone for their emails and genuine concern regarding PNOW. We greatly appreciate it and will keep everyone updated as progress continues.
