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Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?

To: The Osprey who wrote (7204)	1/25/1999 8:25:00 AM
From: Sili Investor	Read Replies (1) \| Respond to of 37507

Assuming that the holders of the warrants have shorted, this means that any impact on BII share price as a result of the warrants being available, has already been factored into the stock price. In other words, if the warrants have been used to short, then the shares have already been sold. Those that have sold (shorted) will just take the warrants (shares when converted) and give them to the financial institution whom allowed them to short (sell their shares while they were still warrants). In other words, BII is sitting here based on the fact that there is 52M shares outstanding. This provides more stability to the share price than say a UBID with only a couple of milion shares outstanding. Granted there is still volatility in the stock price but certainly not to the extremes of a UBID.

To: The Osprey who wrote (7204)	1/25/1999 8:25:00 AM
From: Mr. Forthright	Read Replies (1) \| Respond to of 37507

<< Strange thing about this is why would they exercise these if the stock is headed to the Nasdaq as all the talk seems to point to. Why not just play it short.Cover. Let it run and hope for the Nasdaq listing and then exercise the warrants after it hits the Nasdaq???? Just thinking and wondering what I would do.Possibly influenced by the "greed factor" LOL. >> Well, here's how it works. An investor buys, let's say, 100,000 special warrants at $1.75. He pays the full $175,000 on the date on the issue (November). Once the prospectus which qualifies the special warrants is cleared the special warrants automatically get exercised and the investor receives 100,000 shares without having to make any further payment. Sometimes investors will sell the shares prior to receiving them, hence locking-in a profit (or a loss). I guess those who have sold short (but a covered short) could always buy back and ride the stock, but it is unlikely. Hope this helps.