Quote:
Originally Posted by TwistedChief
Are they really ****ing their long term shareholders by doing a capital raise at artificially high valuations?
I don't understand.
Have you taken a corporate finance class? When the cost of issuing equity is cheap and the cost of debt is expensive, you absolutely issue equity, buy back debt, and delever your enterprise.
The retail community is giving the company a gift.
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I understand it's smart for the company. But the timing is shit, especially after he promised no more dilution during the rest of the calendar year. The constant dilution coupled with the huge bonuses handed out to the top brass is what originally soured me on the stock. But supposedly this was actually done in April before the share dilution promise was made.