Seeker,
For one thing, it's the end of the fiscal year at Franklin but warrants are effected this year. From the S-1 concerning converible preferreds and warrants. (1) concerns preferreds so it's been omitted.
(2) Common Stock conditionally issuable upon exercise of warrants. These warrants are primarily exercisable to purchase shares of Common Stock of FNet Corp., a subsidiary of the Company. However, if FNet has not completed a public offering by June 30, 1998, the holder may elect to convert the warrants into warrants to purchase shares of the Company's Common Stock. [Note: 1,594,824 shares fall into this category.]
(3) Common Stock issuable upon exercise of warrants. 50% of the warrants are primarily exercisable to purchase shares of Common Stock of FNet Corp., a subsidiary of the Company. However if, FNet has not completed a public offering by June 30, 1998, the holder may elect to convert the warrants into warrants to purchase shares of the Company's Common Stock. The remaining 50% are exercisable only to purchase shares of the Company's Common Stock. [Note: 255,386 shares fall into this category but only half are exercisable.]
The thing to remember is that if the IPO doesn't take place by 6/30/98 then FTEL will own a larger percentage of FNet which is what a lot of people want.
WH |
