Roy,
"He(Omar) is stating that in all, we will see an outstanding share count of around 3.5 million after all is converted."
Did you ask Omar where he came up with his 3.5 million share number?
If we go back to Offies summary of Oilex Reg S filings
Message 3384353
and look at the second one on the list,
SEC Filing 1/13/98
Debenture Issued 1/6/98
Face Amount $625,000
Discount Off Face 20%
Conversion Ratio 80%
we see it is not yet convertible. It won't be convertible until about February 20. As we are in the midst of a conversion right now, it is not easy to figure out what the stock price will be on that day. Being conservative I will use .30 a share, even though I think the price will be lower. At an 80% conversion price relative to the stock, that gives us a .24 price per share for conversion. Taking $625,000 /.24 = 2,604,166 new shares. This is only one of the big ones. The latest debentures from 1/28, filed on 2/9 won't be convertible until about 3/12. This is also 625,000 at an 80% rate. I won't even guess at the stock price at that time, but amount of new shares issued will most probably be in excess of 3 million. Even the debenture for $175,000, which is being converted now works out to about 729K shares at a .30 stock price. That is almost enough to get us to the 3.5 million
I am not trying to be argumentative, but the numbers don't lie. |
