What does this mean?

[Duritz]

Hi guys,

a stock - HXG - has issued the following statement today... being a share newbie can someone enlighten me as to what it means?

http://www.aspecthuntley.com.au/doc...lc2lnbmFsL2Vycm9ycGFnZXMvcGRmZGVsYXllZC5qc3A=

 

[Jimmy_the_Gent]

Employees were going to be given options to buy 1 share at 8c if the market cap reached 30 mil.

That happened recently so now 500,000 new shares will be issued. The company will get 500,000 x 0.08, the employees will make 9.5c per share if they sell at todays closing price and existing shareholders will have their holding dialuted.

 

[Duritz]

Employees were going to be given options to buy 1 share at 8c if the market cap reached 30 mil.

That happened recently so now 500,000 new shares will be issued. The company will get 500,000 x 0.08, the employees will make 9.5c per share if they sell at todays closing price and existing shareholders will have their holding dialuted.

campaignerfaces. So that's why the stock has gone down today goddamit.

 

[Jimmy_the_Gent]

It's probably something else.

If I have this right, the market cap is 30 mil with each share @ 15c. That means there are about 200,000,000 shares out there. Another 500,000 shouldn't matter too much. That's a 0.25% dialution. I'm not sure that should result in a 14% pull back.

 

[Duritz]

It's probably something else.

If I have this right, the market cap is 30 mil with each share @ 15c. That means there are about 200,000,000 shares out there. Another 500,000 shouldn't matter too much. That's a 0.25% dialution. I'm not sure that should result in a 14% pull back.

Isn't it 500,000 per employee but?

 

[Duritz]

Mofos have gone from .175 to .145 since this announcement. ****ing debacle.

 

[Duritz]

What a cluster****. Since this employee share debacle HXG has gone from .175 to .130 right now. They've trimmed up 1.5c (or more than 10%) just today...