Please help me to understand...
How does this story end ?
- Joey says to Investor A and Investor B - NO THANKS, I don't want your millions...I would much rather hold 26M worthless shares and try to convince shareholders to believe in me. My kids can get Pell Grants to pay for their College as long as I maintain control of GIGL.
- Or do Investors, after a fairly good Qtrly, approach Joey with a solid deal that provides needed money for expansion, avoids having the rights offering, and causes PPS to shoot upwards
*** I really don't understand why Joey wouldn't want to make a deal and I really can't believe that their are no interested parties/inquiries ? Accumulating shares at under 3 cents would make a person MILLIONS in profit if they bought say 7M shares as a side investment, paid Joey say $4.5M to get the hell out of Dodge and pay say $1.1M in build out costs.
Follow me here - outlay is say $210k + $4.5M for 25M of Joey's shares + $1.1M in expansion costs for 3-4 new locations = outflow of $5.8M
Then a new CEO is appointed and said investor can make at just 25 cents PPS (and have control of the company):
* 32M shares x 25 cents = $8M or an easy $2.2M made rather quickly IMO
*** If expansion news came along with a PR that a new CEO came on along with avoiding dilution via cancelling of the rights offering - don't you think we would be creeping up on the 52 week High or even surpass it ?