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Microcap & Penny Stocks : THNS - Technest Holdings (Prev. FNTN)
THNS 0.00Jun 7 5:00 PM EST

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To: JOHN WHITE who wrote (10010)1/10/1999 9:51:00 AM
From: De Peepster  Read Replies (2) of 15313
 
heyy John,
That would be accurate if FNTN was not a BB issue. At most at this level you can attract venture capitalists and private placements, both being in essence the same thing. The net result is issuance of shares below market, often rewarded with interest, that end up on the
open market creating dilution unbeknownst to the average shareholder when a company is not fully reporting. It is a method of raising funds that is used for startups when financial institutions will not offer financing. The risk for the shareholder and hence the challenge for the managemnet is can they deliver a marketable product before dilution cripples the future outlook in a reasonable timeframe.
FYI,, B
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