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Message: debt

Re: debt

posted on Aug 26, 2009 01:59PM

If you want to discuss this, then present the facts. The tranche I and II investors hold a debenture with the option to convert to shares within 2 years. If the price shoots up, they convert and make a lot more money. They also hold warrants for 5 years. Tell me this, why wouldn't someone in tranche I or II convert to common if/when the price is $1 or so higher than their cost? They'd be idiots not to. And if the price shoots up that high, then that means the company has landed some deals and is in good shape.

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