Some real DD from MBZ240 on RB: <<I wrote a quick e-mail to Paul Henry last night and this is what I got back this morning. I'm going to thank him for his prompt response. Any thoughts on his comments are welcome.
Michael,
Change is difficult, and we never expected everyone to like it.
However, we
believe the actions we are taking are in the best interest of the
shareholders, and many shareholders have called to congratulate us for
finding a prominent investment bank that believes in our business
concepts,
our management, and our partners. The bank says they believe they can
put
together as much as $40 million of financing, a very unusual event for
any
small company. However, to raise that kind of money from sophisticated
investors, they said it was unacceptable to have a stock trading in the
pennies, and asked us to reduce the number of shares outstanding.
Certain
investors think this is a great idea, others not, and we will certainly
lose
some of those investors who are looking to multiply their money quickly
in a
penny stock. Our objective is to use the funds we raise to enhance
shareholder value, and to accelerate our progress to become a "real"
company
with substantial revenues and earnings.
There will be no "damage control" campaign because SEC rules strictly
prohibit activities that could be viewed as "conditioning the market"
while
raising funds. Nor are we allowed to make releases about, or comment
upon,
either the financing or the restructuring. However, we will continue
to
release important news in a timely way.
Thanks for your past support. We hope you remain with us!
Regards,
Paul Henry >> |
