when you figure in $7M of stock comp, that's about 4M shares. Then the creditors got more than 20% when you figure in all the fees, so that's another 5M. The share count was 22M after the acquisitions, so we're getting up to 30M or above.
"In connection with the Term Amendment, the Company has issued warrants to the Term Lenders, exercisable at $0.01 per share, for shares of the Company’s common stock equal to 19.99% of the shares outstanding prior to the date of the Term Amendment (exercisable into approximately 3.8 million shares)"
Where do you get $7M in stock comp? And where do you get 22M after acquisitions? The above statements specifically state that creditors get 3.8M shares.
From 2012, 10-K filing, they mention that approx 3.8M shares (equal to 20% equity) were issued. This implies a pre-dilution number of around 19M shares and the final share count of AT LEAST 22.8 million.
The situation is very murky, with a lot of moving parts and each party acting perfectly according to the law of incentives.