Craig,
<<I wonder what course of action the Reg D guys would have taken if Ancor had announced a big OEM before they started converting?
For some reason, I'm guessing they would have come out all right. Since they've probably played the game before, I bet they've figured out how to look after their interests. I think any good size pop would have worked out well for them. If it had gone $6 to $15, I don't think they would have complained. A steady rise after that would have invoked the maximum conversion price, after which higher is better for them, too.
I might be naive (of course I am) but I don't think they would have had enough fire power to overcome a couple big OEM announcements. I think the buying power would have exceeded their shorting power. The only reason, in my mind, that they drove the price to $1 was the lack of announcements. It probably works out the best for them this way, but the other way would have been OK, too.
<<I also wonder what the end game is for these guys.>>
I've wondered about that as well. Will we know as it is ending, or will we be oblivious to it until Ancor tells us that all preferred shares have been converted? I think we will end up battered and bruised, but otherwise OK. However part of me thinks about Butch Cassidy and the Sundance Kid, and that there is still a big ambush waiting for us.
Greg |
