May. 9 at 6:52 AM
$WBUY The main point about the Dogwood deal is that it is not a classic death spiral financing. It is a right to raise additional capital if needed and as needed.
The whole mechanism is actually tied to the success of the business itself. The better WBUY performs operationally, the higher the stock price goes. The higher the stock price, the more expensive the shares become for Dogwood and the less dilution is required for WBUY to raise the same amount of capital.
So in a positive scenario:
* WBUY gets flexible growth capital;
* shareholders benefit from business growth and higher valuation;
* Dogwood profits from the discount/spread by selling shares into the market.
This only becomes a real “death spiral” if the business itself deteriorates and the stock collapses toward the lower threshold. But if the travel business keeps growing and operational momentum continues, this financing can actually function as a transitional growth bridge rather than a destruction mechanism.
