CEO swapped 2/3 of the entire company in return for lousy $5.5 million cash
"In order to provide additional funds necessary for the redemption of the Series B Preferred Stock, on July 12, 2013 Talon raised $5,500,000 of new equity capital through the offer and sale, in a private placement transaction, of 61,111,109 shares of Talon common stock at a price of $0.09 per share (the "Private Placement")."
Wow, such a steep price to pay in dilution, to get rid of the CVC liquidation clause. But I guess they had to do it. Now the sharecount sits at 90 million shares, and they still have to finance an additional $5 million somehow to pay off the promissary note. I wonder if Lonnie really knows what he's doing. If this was their destiny all along, he should have done the private placement years ago, when the stock was still in the $0.50 range, and he wouldn't have had to give away 2/3 of the company for a song. What a shame.