tashery, yes that is partially true.
Here is how I understand the GHS financing deal in simple terms. adirondackhi, plz feel free to correct me where I may be incorrect.
1. Our lender/Banker GHS Investments will be PUT shares to them at a discount (~18%) from time to time.
2. In return, RMHB receives $$ (~12%) like to fund the HEMPd launch, reduce debt Notes like they have, BFIT acquisition, etc.
3. GHS can, at their discretion recoup cash and profit (why they are in it) by selling RMHB stock, BUT with restrictions like only a portion of the previous days volume. Example: The 1.1 mil Meadows note converted to stock @ 37.5% discount.
4. GHS may use a particular MM (BMIC) to sell within the restrictions.
Tashery your note about low volume days, yes based on the restriction of a portion of previous days volume dictates the qty they may sell, so if low they IMO likely not selling any, so higher volume days trading at a higher price would be more 'bang for your buck' . IMO my guess we are seeing flipping activity here vs GHS selling.
In the original 8-K posted back on 07/02/18, In "Securities Purchase Agreement With GHS" Section 1 describes the process; Reference: https://www.otcmarkets.com/filing/html?id=128...pInoVIe73h
Also the S-1A on 08/08/18, scroll down to the "PLAN OF DISTRIBUTION" section, pg 48. https://www.otcmarkets.com/filing/html?id=129..._HTM_A_014
Finally in the S-1A on 08/08/18, scroll down to the 'Dilution' section. I like this statement further backing my idea that GHS is not selling at these prices below .012 : This is the 4th (last paragraph)
"As of March 31, 2018, the net tangible book value of our shares of common stock was ($1,016,684), or approximately ($0.0) per share based upon 1,509,279,945 shares then outstanding. Upon completion of this Offering, if 100% of the shares are sold (320,000,000 shares) at a discounted market price of $0.01 (82% of $0.012 market price) per share, the net tangible book value of the 1,829,279,945 shares to be outstanding will be approximately $2,079,636 or approximately $0.0 per share. Based on these figures, current shareholders will NOT experience a dilution in terms of net tangible book value per share as a result of this offering."
- NOTE: I could not find that % amount figure that GHS cannot go over. Who is to say that they are above that % threshold??
- Anyway hope it helps. Again adirondackhi do I have the jist of this correct?
Here is how I understand the GHS financing deal in simple terms. adirondackhi, plz feel free to correct me where I may be incorrect.
1. Our lender/Banker GHS Investments will be PUT shares to them at a discount (~18%) from time to time.
2. In return, RMHB receives $$ (~12%) like to fund the HEMPd launch, reduce debt Notes like they have, BFIT acquisition, etc.
3. GHS can, at their discretion recoup cash and profit (why they are in it) by selling RMHB stock, BUT with restrictions like only a portion of the previous days volume. Example: The 1.1 mil Meadows note converted to stock @ 37.5% discount.
4. GHS may use a particular MM (BMIC) to sell within the restrictions.
Tashery your note about low volume days, yes based on the restriction of a portion of previous days volume dictates the qty they may sell, so if low they IMO likely not selling any, so higher volume days trading at a higher price would be more 'bang for your buck' . IMO my guess we are seeing flipping activity here vs GHS selling.
In the original 8-K posted back on 07/02/18, In "Securities Purchase Agreement With GHS" Section 1 describes the process; Reference: https://www.otcmarkets.com/filing/html?id=128...pInoVIe73h
Also the S-1A on 08/08/18, scroll down to the "PLAN OF DISTRIBUTION" section, pg 48. https://www.otcmarkets.com/filing/html?id=129..._HTM_A_014
Finally in the S-1A on 08/08/18, scroll down to the 'Dilution' section. I like this statement further backing my idea that GHS is not selling at these prices below .012 : This is the 4th (last paragraph)
"As of March 31, 2018, the net tangible book value of our shares of common stock was ($1,016,684), or approximately ($0.0) per share based upon 1,509,279,945 shares then outstanding. Upon completion of this Offering, if 100% of the shares are sold (320,000,000 shares) at a discounted market price of $0.01 (82% of $0.012 market price) per share, the net tangible book value of the 1,829,279,945 shares to be outstanding will be approximately $2,079,636 or approximately $0.0 per share. Based on these figures, current shareholders will NOT experience a dilution in terms of net tangible book value per share as a result of this offering."
- NOTE: I could not find that % amount figure that GHS cannot go over. Who is to say that they are above that % threshold??
- Anyway hope it helps. Again adirondackhi do I have the jist of this correct?
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