Each one in plain English, with the numbers worked through for a shareholder.
10 Jan 2008capital raising announcement▼ BadMajor
On January 2, 2008 ParaFin issued 300,000,000 shares to Rukos for $750,000 (under a December 14, 2007 subscription agreement), each unit also carrying an A warrant at $0.003 per share that on exercise gives a share plus a B warrant at $0.03. Shares outstanding rise from 136,280,671 to 436,280,671, more than tripling the count and sharply diluting existing holders; the proceeds go to working capital and may repay existing debt. This continues the pattern of Rukos funding the company through share sales.
ParaFin reports a May 2, 2007 farmout with Meta Petroleum Ltd. for a Colombian oil concession of about 7,000 hectares, giving it a 50% interest once it drills four wells at its own cost; Meta Petroleum denied the agreement's validity shortly after signing, and ParaFin says it will try to enforce it. It also reports a one-for-three reverse split effective June 4, 2007, Rukos placements of $1,800,000 (June) and $750,000 (July), new consulting deals (Zuzanne Kanaty and Francisco Saez, 10,000,000 shares each, plus $5,000,000 in advisory fees to Kanaty), and 19,999,997 shares issued to restore earlier holdings; shares outstanding are 136,280,671 as of July 31, 2007. This is the company's first oil-concession deal since earlier plans (Paraguay, Russian crude, Thai diesel) and it is already disputed by the counterparty; the $5,000,000 fee is owed for securing the Meta interest.
An amendment to the March 2007 filing that repeats the Rukos unit sale and the switch from George Brenner to DeJoya Griffiths & Co., now attaching the former auditor's letter (Exhibit 16.1). No new figures or events.
On March 7, 2007 ParaFin sold 12,000,000 units to Rukos for $600,000 ($0.05 each), each with one share and two three-year warrants at $0.06; shares outstanding are now 116,338,152. It also replaced auditor George Brenner (stated to have resigned for health reasons) with DeJoya Griffiths & Co.; the latest audit report carried a going-concern warning citing losses and an accumulated deficit.
19 July 2006capital raising announcement▼ BadMajor
ParaFin cancelled its May 8, 2006 oil purchase agreement with International Project Finance and Investment Corp. and replaced it with one with OY Coral Marine Management Ltd. of Finland: up to 536,000 Series A Preferred shares for the right to buy 536,000,000 barrels of Russian Export Blend crude, issued as delivery agreements are accepted. OY also gets warrants for 500,000,000 common shares at $0.25 for five years, which could heavily dilute common holders if exercised; the stock closed at $0.15 on July 6, 2006.
What it means for a shareholder
500m new shares at $0.250 to raise about $125m. Shares on issue before the raise aren't in the record, so the dilution can't be worked out.
10 Feb 2006capital raising announcement● NeutralMajor
The company reported a ten-for-one reverse split on January 9, 2006 (58,370,290 shares down to 5,837,029), then issued 13,500,000 shares under stock plans, had Rukos exercise an option for 15,000,000 shares at $0.05 ($75,000), and sold Rukos 30,000,000 shares at $0.20 for $6,000,000. Shares outstanding total 59,637,029; the $6,000,000 is earmarked for a proposed acquisition or working capital.
7 June 2005capital raising announcement● NeutralMajor
On June 2, 2005 the company sold 15,000,000 units to Rukos for $600,000 ($0.04 per unit), each unit being one share plus a warrant convertible into two shares at $0.05 for three years; proceeds go to repaying corporate debt and working capital. The filing also corrects president Sidney Fowlds' holding from 3,001,400 to 4,001,400 shares (including 1,000,000 held by his wife).
18 Jan 2005capital raising announcement● NeutralMajor
Filed in January 2005, this reports several events: the company renamed itself ParaFin Corporation (October 7, 2004), and on December 6, 2004 signed a farmout with Guarani Exploration and Development to potentially acquire an 80% interest in an exploration license over the Alto Parana Block in Paraguay, which depends on the Paraguayan government approving Guarani's license application. If approved, ParaFin must deposit $150,000 and then $350,000, and fund a work program estimated at no more than $3,500,000; financing is not yet arranged. Rukos exercised its warrants for 25,000,000 shares at $0.03 ($750,000) on October 18, 2004, 15,000,000 options were issued and exercised for $127,500, and a consultant, Robert McGowan, is to receive 5,000,000 shares.
26 Aug 2004capital raising announcement● NeutralMajor
On August 23, 2004 the company sold 25,000,000 restricted shares to Rukos Security Advice A.G. of Frankfurt, Germany for $500,000 ($0.02 per share), to be used for repaying corporate debt and general working capital. This adds new shares for existing holders to be diluted by.
