One disturbed poster is determined to brainwash people with his nonstop smear campaign regarding dilution and how it is the most terrible thing in the world. I am here to give you the reasoning and make you all see that there was absolutely nothing wrong with it. The disturbed poster will likely flip out in a tizzy, but it should be entertaining to watch.
The bottom line is that NTWK simply chose to finance its growth and financial needs through equity instead of debt. There is nothing wrong with this and no different than how most development stage biopharma companies go about their financing.
Now, during the company's formative years, or when setbacks necessitate additional funding, ALL shareholders give up a bit of value. Those shareholders include management who hold significantly more shares, as well as everyone else who accepted shares in the past instead of taking cash for payment.
The disturbed person or two will play number games about past stock prices, but they are meaningless as far as where the stock trades today and the value of shares purchased today. Anyone who has invested in a biopharma company is aware that as it grows they will do reverse splits and new share offerings along the way so they can operate without debt. INVESTORS understand that, and buy the shares for the expected growth/value going forward.
Now that you understand how NTWK was able to fund/finance its corporate needs without the need to take on lots of debt while growing/expanding the company and get to the point of solid profitability having a great product/service, you can view the nonstop ridiculous posts by the disturbed person(s) in the right light and make an educated investment in a growing/profitable company that is about to announce its firing on all cylinders and sees excellent growth going forward.
Now is the time to invest, not run away because you are easily swayed by those who invested poorly in the past.
They have been diluting for 15 years. 2 reverse splits. 9 million shares back out comes to 450 million shares
Issued to support your growth. 9 mill at 1 for. 10 is 90 mill another 1 or 5 is 450 million shares.
Nothing wrong with this you say? Seems like they are living off the backs of their own shareholders For 15 years! You are too funny. There is plenty wrong with this and wall street knows.
I've noticed that only disturbing facts from the SEC documents make you angry;therefore,you belittle those who post only facts not editorials about peoples character and substance. This is not a bio investigation site and as a poster you should not be explaining how these nefarious new allotments are accomplished in light that a corporate individual said that he would not sell and implying that pre-split shares are worth at least eight dollars per share. Yet dilution continues thereby lowering EPS far below two years ago. Additionally,the stock has dropped over 50% and honestly looks like 2011 once again.