DYGN Series "C" (one of many placed)
"The number of shares of Common Stock issuable upon conversion of Series C
is dependent upon the market price of the Common Stock. The Series C Preferred
Stock may be converted into Common Stock at a conversion price equal to 74% of
the average closing bid price of the Common Stock for the five trading days
prior to the date of conversion. Therefore, the conversion ratio will change if
the trading price of the Common Stock changes. Any conversion of Series C
Preferred Stock into Common Stock would be dilutive to the existing holders of
Common Stock. Decreases in the trading price of the Common Stock will cause the
number of shares issuable upon conversion of each share of Series C Stock to be
greater. However, no such additional shares are being registered in the
registration statement of which this Prospectus forms a part. See "Special
Considerations -- Adverse Consequences Associated With The Obligation To Issue A
Substantial Number of Shares Of Common Stock Upon Conversion Of Convertible
Securities" and "Risk Factors -- Adverse Consequences Associated With The
Obligation To Issue Substantial Shares Of Common Stock Upon Conversion Of
Convertible Securities." As of January 5, 1999 the outstanding shares of
Series C Preferred Stock were convertible into approximately 1,212,600 shares of
Common Stock."
..................
"The Company is obligated to issue a substantial number of shares of
Common Stock upon the conversion or exercise of its outstanding options,
warrants, rights, convertible preferred stock and a convertible note. The price
which the Company may receive for the Common Stock issuable upon exercise of
such convertible securities will, in all likelihood, be less than the market
price of the Common Stock at the time of such exercise. Consequently, for the
life of such convertible securities the holders thereof may have been given, at
nominal cost, the opportunity to profit from a rise in the market price of the
Common Stock."
...........Sounds like there are other covertibles out there,,don't have time to research..
"As of January 6, 1999, the authorized capital stock of the Company
consisted of (i) 75,000,000 shares of Common Stock, of which 37,600,888 shares
were issued and outstanding, and (ii) 10,000,000 shares of preferred stock, $.01
par value per share, of which (A) 50,000 shares have been designated Series A
Stock, of which 50,000 shares were issued and 1,570 outstanding, (B) 12,515
shares have been designated as Series B Stock, of which 12,515 shares were
issued and 7,500 were outstanding, (C) 7,500 shares have been designated Series
C Preferred Stock $.01 par value per share, ("Series C Stock") all of which were
issued and of which 2,183 were outstanding, (D) 60,000 shares have been
designated as Series D Preferred Stock $.01 par value per share, ("Series D
Stock") of which 15,000 were issued and 5,000 were outstanding, (E) 10,500
shares have been designated as Series E Preferred Stock, $.01 par value per
share ("Series E Stock"), all of which were issued and outstanding, (F) 5,000
shares have been designated as Series F Preferred Stock, $.01 par value per
share ("Series F Stock"), all of which were issued and outstanding. (G) 10,000
shares have been designated as Series G Preferred Stock, $.01 par value per
share ("Series G Stock"), all of which were issued and outstanding, and (H)
20,000 shares have been designated as Series H Preferred Stock, $.01 par value
per share, of which 19,000 were issued and outstanding. As of such date, based
on the market price of Common Stock of approximately $.24 the Company was
obligated to issue approximately 32,251,000 shares of Common Stock upon exercise
of outstanding options, rights, warrants, convertible preferred stock and
convertible notes."
The above from the Jan s3A
edgar-online.com
I think your sense of smell is correct<g>,wouldn't touch it...DD |
