DD, I know the EXSO situation, if memory serves, I called that one "play by play", it was not a reg s (Arakis was), it was a straight shoot from th hip floorless, the difference is that it had a ceiling, this one, I could not find it (but it could be there in the actual debt instruments papers which I never read). In any event, I remember quite well reading in the S-2B (?) that the holders of the PP can not only short, and short against the block, they can use the paper and transfer it as collateral etc. Furthermore, two of the outfits are off shore (one in Israel and the other a British one) and they can short as long as they have a piece of paper with their broker saying they got enough conversion rights to cover their short. Where do you think is all the selling coming from?, Gordon has only 14 MM shares (he already sold the rest), of which the granted shares (5 MM) I believe are restricted, thus he needs to file a 144 for these, that leaves him with only 9 MM he can use for selling, and he, apparently, has not sold any this year as Henry stated. If he wanted, he could sell against the block, but it is possible that such sales would have to be filed with the SEC, I do not know the rules on that.
Zeev |
