Apr. 28 at 7:56 AM
$MTEN The massive dilution on 21st April has now induced some price movement in
$MTEN. There are several new risks. First, if the price fully reflects the dilution then it must fall below . Second,
$MTEN mkt cap is
$1.37 million so a reverse split is not available to rectify a minimum bid price deficiency. Third, if the price falls below
$0.8197 then the
$MTEN mkt capt falls below
$1 million raising the possibility that
$MTEN will breach the Nasdaq minimum mkt cap rules. Fourth, the agenda for the meeting of 29 May, if approved, would give owners of B class shares huge voting power, yielding a huge incentive to vote in their own interest rather than that of shareholders. None of these risks are priced into
$MTEN closing price.
Taking account of these risks it becomes more apparent why 25cents is a reasonable price. I remain Bearish.
