Hi Rajiv, ALTIF's financing on Dec 29, 1997 is very confusing.
Since Mark Skouson has touted this stock for quite a while, I decide to take a look what are the reasons you think it is a good short.
If you look at the company's news release, it said this $10M is divided into 2 parts ( $5M first and then $5 later at ALTIF's choice).When I check the 8-K and S-3 which filed on Jan 14/98 and Feb 8/98 respectively, shares are sold by the some shareholders and company will not get a penny. ( This is totally agaist what PR described.
"This financing gives Altair increased financial strength to proceed with our Tennessee property and bring the centrifugal jig to market, said Dr. William Long, Altair's President. "
One more thing even more strange is that 6 buyer stated in the 8-K are the same 6 to sell among the 8 selling shareholders in the S-3. If this is true, they may try to get rid of their existing shares and then get more shares by driving the shares down. If this is true, how can ALTIF allow them to do so????
BTW, do you know which companies found their TN properties unprofitably ?
From the chart, the momentum looks weak and may be ready to decline. Fundamentally, I need to solve this confusion to short it.
Regards,
CJ
Disclaimer:
Since I am new on reading all those Edgar document, the correctness of my understanding is not guaranteed. Please do your own homework. |
