Creative Waste Solutions, Inc.: announcements explained, share price

Announcements, explained

Each one in plain English, with the numbers worked through for a shareholder.

29 July 2013capital raising announcement▼ BadMajor

On July 22, 2013 the company swapped $175,028 of overdue demand loans (including accrued interest) from four lenders for convertible debentures due July 22, 2017. Two debentures are held by Tina Bressert ($41,118 at 10%, convertible at $0.0025 per share, and $3,297 at 17%, convertible at $0.35), plus Nottingham Group ($19,586), Petra Corp. ($75,754) and Elco Securities Ltd. ($35,273), all at 17% and convertible at $0.35. The filing says conversion could let Bressert buy up to 98.83% of the common stock, Nottingham and Petra (under common control) up to 75%, and Elco up to 34.13%, all on a non-diluted basis, so existing shareholders face heavy potential dilution. This is an amendment (No. 2) of an earlier report; the filing does not say what changed. The filing does not mention the Arriba deal or the exploration funding question.

Discuss in chat

1 Dec 2011capital raising announcement● NeutralMajor

The board approved selling 125,000 units at $0.40 ($50,000 total) to Larry Frick, each unit being one share plus a two-year warrant exercisable at $0.70 (not exercisable for six months). The filing says this leaves 167,669 shares outstanding and Frick owning about 75%, a very small share count compared with the 60 million-plus shares of 2008 (the filing does not explain the drop, though a reverse split is a possible inference). Frick becomes the controlling shareholder.

What it means for a shareholder

125,000 new shares at $0.400 to raise about $50,000. That's 75% dilution: every existing holder's slice gets 75% smaller. If you held $1,000 of shares (2,500 at the issue price), your slice goes from 5.9% to 1.5% of the company. To keep it you'd need 7,410 more shares - about $2,964 at the issue price.

Create a free account to see this worked out for your own holding.

Discuss in chat

20 Jan 2009capital raising announcement● Neutral

On January 15, 2009 the company closed a private placement of 484,837 shares at $0.45 each for gross proceeds of $218,176.65, sold to 10 non-US and 1 US buyer. The price is higher than the $0.25 paid in the 2008 placements; it adds shares and cash.

What it means for a shareholder

484,837 new shares at $0.450 to raise about $218,177. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.

Create a free account to see this worked out for your own holding.

Discuss in chat

14 Oct 2008capital raising announcement● Neutral

On October 10, 2008 the company closed a private placement of 950,000 shares at $0.25 each, raising $237,500 gross, sold to 6 non-US and 3 US buyers. This adds shares (dilution for existing holders) and cash, following the similar $250,000 raise in July.

What it means for a shareholder

950,000 new shares at $0.250 to raise about $237,500. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.

Create a free account to see this worked out for your own holding.

Discuss in chat