Today's news of a board member resignation is consistent with what John Gilliam and I both impliedly and expressly predicted. As you all know, ATRN is hunting for capital. The easiest and less burdensome way to acquire capital is through an equity offering-sure the shareowners will get a wee bit diluted but its far netter thanh carrying a debt load with interest payments to make..ok back to my prediction. Sean Parker wants to get Spotify going in the US.But getting the deals inked with the record labels is taking a toll.both time and money per Gilliam's analysis..as I predicted it would be far easier if he just acquired a share position much like the 5% share position he took in Spotify..Of course with a share position he would want a seat on the board..of course this goes with the territory as when you have the shares you can vote yourself a sdeat..My prediction isd that they have secured equity capital from a player like Sean Parker and that he wants a seat on the board..to make room for that seat..someone has to step away..voila..the news that a board seat was vacated is a sign that my prediction is coming true
It looks like this board member was on the board representing an investment fron Trinad Capital Master Fund. In the filing below it says that on or about January 6, 2010 Trinad distributed stock to its investors. Once these funds are no longer are involved with a company they give the stock directly to their investors to sell for tax purposes. Looks like he has had no interest in this since January.
In fact, going off the board could be a good thing as he might want to sell some stock if their is going to be news. No longer being on the board allows him to sell into an event.