Aug. 19 at 10:13 PM
$XERI (Part 2 of XERI's Plan to Finance Mass Production)
Because bonds are low-interest debt, not common stock. Financing NexBoard factories this way could potentially provide hundreds of millions of dollars in expansion capital without issuing hundreds of millions—or potentially billions—of additional XERI shares.
Obviously, there's no guarantee Xeriant will obtain this financing, and any NexBoard facilities would have to meet the applicable requirements.
But the important point is that Xeriant didn't suddenly start thinking about how to finance mass production yesterday. For at least two years, management has publicly indicated that it was exploring a potentially scalable financing strategy designed to build manufacturing capacity while minimizing dilution to existing shareholders.
As XERI enters the commercialization phase, that little piece of history may become increasingly important.