Actually, there are 4,124,419 shares outstanding, of which only approximately 86,000 are in the float. The following information has been extracted from the company's PREM14C as filed with the SEC on April 16, 1999.
Aladdin Oil did a reverse merger into a shell named Buffalo Capital V, Ltd. Buffalo was incorporated in September 1997 as a "blind pool" for the purpose of acquiring one or more properties or businesses. Prior to the merger of Aladdin into Buffalo, Buffalo had 4,620,000 shares outstanding. As part of the transaction with Aladdin, the company effected a one for two reverse split, which reduced the number of shares outstanding to 2,310,000. Certain of the Buffalo shareholders also agreed to the voluntary surrender and cancellation of 1,903,901 of the post split shares, leaving 406,099 shares in the hands of the old Buffalo shareholders.
Aladdin was then acquired for 3,718,320 shares, which means there are now 4,124,419 common shares outstanding. Additionally, certain of the shareholders of Aladdin were to receive 1,677,000 shares of a new Series A Convertible Preferred Stock with a liquidation preference of $.75 per share. The preferred shares are to receive a 12% annual dividend and are convertible into 1,677,000 shares of common stock. Assuming full conversion, there would be 5,395,320 common shares outstanding.
Certain of the Aladdin shareholders also received warrants. 1,088,500 Class A warrants were issued, each warrant entitling the holder to purchase one share of common stock at $1.50 per share until December 31, 1999. 1,688,000 Class B warrants were issued, each warrant entitling the holder to purchase one share of common stock at $1.00 per share until December 31, 1999.
Certain of the Aladdin convertible debt holders received a combination of new convertible debt and warrants. There appears to have been approximately $417,600 in debt. The Aladdin debt holders were scheduled to receive 12% debentures, convertible into an aggregate of 522,000 shares of common stock. They were also to receive 261,000 Class A warrants and 261,000 Class B warrants. |
