Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : XYBR - Xybernaut -- Ignore unavailable to you. Want to Upgrade?

To: David Lee who wrote (576)	5/15/1998 5:24:00 PM
From: Charger	Respond to of 6847

My understanding of warrants: Yes, the search worked, thanks. I would have gotten there eventually, but was too busy during trading day to switch gears into "search" mode. Xybernaut faxed me a part of the prospectus describing the warrants, et al, and will test this in my own words to see if I understand: The "strike price" of the warrants is $7.55 (after adjustment) which means that I am entitled to buy one share of common for each warrant that I own for a price of $7.55 over and above the cost of the warrant. So that, e.g. if I bought the warrant at $1.75 and paid $7.55 to convert to common I could own a share of common for $9.30 even if the common were at a price of say $12. I may do this at any time?? Or, I must wait until July 17, 1999 to do this? I may also sell my warrants for whatever price they might be, at any time. If I do not sell the warrants, or convert the warrants, and should the price of the common get to $18 for 20 consecutive trading days, the company may, at its discretion, no later than 5 days hence, issue a 30-day notice that they are recalling the warrants for a price of .05 per warrant giving me the right to exercise my warrant right up until midnight of the 30th day of such notice. Further, for each warrant, the company must hold in their treasury one share of common for every warrant issued for the purpose of conversion. So...in conclusion, given the strength of XYBR, the warrants are a very good buy because it would seem to me that the common will easily exceed a price beyond what the warrants plus the strike price would be (or $9 vicinity) and certainly well before July 1999, making them more valuable to simply sell, or making the common one heck of a bargain upon conversion. Have I got this straight? When I called the company, they had a list of 200 people to call back requesting investor packs, Monique Macken was in California "on business" (Sony?) and the IR Steve Newman, was in press conferences!! Charger