Unlikely. Just reported over $58 million in cash TODAY. Not to mention that they expect to be profitable beginning next quarter. This is coupled with the fact that the CEO TODAY announced the purchase of 2 million PERSONAL new shares. SEC regulations would bar any conflict of interest such as a dilution between the CEO and the company.........
Hey tchen, you enjoy reading through the quarterly report. Hysterical. In their own words they confirm what I told you. Enjoy the ride down.
For the quarter ending September 30, 2014, we intend to seek to sell additional debt or equity securities or arrange for debt financing, subject to the terms and conditions of our financing agreements. If we raise additional funds by selling additional shares of our capital stock, or securities convertible into shares of our capital stock, the ownership interest of our existing shareholders may be diluted. We cannot be certain that additional funds will be available to us on favorable terms when required, or at all.
Uh, that was the cash number at June 30. They burn at a high rate. They will be out to market very soon, if not already out there, to raise money. Debt not an option. Equity will cause massive dilution. There is no way around any of this. Facts are Facts then, whether you are long or shot, a fan or not.
I'm curious about these new shares the CEO is buying. What are new shares? Is he buying from the company and at what price? What happened to him buying in the market?