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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?

To: jjs_ynot who wrote (1310)	6/25/2001 10:52:07 AM
From: RockyBalboa	Read Replies (1) \| Respond to of 1438

daves, you have to read it correctly: >>>>>>>>>>>>>>>>>>>>>>>>> Additionally, the company completed the private placement of $10 million of Series D Convertible Preferred Stock to Crescent International Ltd., an investment company managed by GreenLight (Switzerland) SA, and warrants exercisable to purchase 509,554 shares of common stock at a price of $5.89 per share for a five-year term. <<<<<<<<<<<<<<<<<<<<<<<<<<<<<<< A lawyer would argue that the number 509,554 applies to the warrant as it is made visible by the comma before the and. This warrants are called "sweeteners" and are good of the stock does not act properly.... ie it goes up. 100s of convertible debt filings also have sweetener warrants in them... In some cases the sweeteners turn into toxic warrants if a certain switching feature is embedded into them...often buried deeply in the filings... By the way,....500k shares would be never, never good for $10MM (except in early 2000).