On December 12, 2009 Spongetech Management raised the Authorized Shares to 1,305,000,000.
as noted in section F-16 of the 10q released on January 14, 2009 for the quarter ending November 30, 2008 -
Effective December 12, 2008, the Company’s Certificate of Incorporation was amended to increase its authorized capital to 1,305,000,000 shares consisting of 1,250,000,000 shares of common stock, par value $0.001, 40,000,000 shares of preferred stock, par value $0.001, and 15,000,000 shares of Class B Stock, par value $0.001.
On March 5, 2009 Spongetech Management issued a Press Release that in part stated -
We are proud to announce that our Company is now cash flow positive and can finance our immediate growth from the cash generated within. We have been in negotiation with two banking institutions that could potentially provide us with accounts receivable financing, if and when needed for the future growth of our Company. However we hope that future cash requirements for product development, marketing, production, and financing of inventories and receivables can and will be generated internally.
On March 10, 2009 Spongetech Management raised the Authorized Shares to 1,555,000,000.
as noted in this 8-k release -
Effective March 10, 2009, Spongetech Delivery Systems, Inc. (the “Company”) amended its Certificate of Incorporation to increase its authorized capital from 1,305,000,000 to 1,555,000,000 consisting of 1,500,000,000 shares of Common Stock having a par value of $0.001 per share, 15,000,000 shares of Class B Stock having a par value of $0.001 per share, and 40,000,000 shares of Preferred Stock having a par value of $0.001 per share
On April 13, 2009 Spongetech Management raised the Authorized Shares to 1,860,000,000.
as noted in this 8-k release -
Effective April 13, 2009, Spongetech Delivery Systems, Inc. (the “Company”) amended its Certificate of Incorporation to increase its authorized capital from 1,555,000,000 shares to 1,860,000,000 shares consisting of 1,800,000,000 shares of Common Stock having a par value of $0.001 per share, 20,000,000 shares of Class B Stock having a par value of $0.001 per share, and 40,000,000 shares of Preferred Stock having a par value of $0.001 per share
On April 23, 2009 Spongetech Management issued a Press Release that in part stated-
is pleased to announce that the Company has signed a Letter of Intent ("LOI") with a bank credit facility for a $5 Million accounts receivable financing. As proposed, the financing would provide the Company with accelerated liquidity for working capital based on the amount of SpongeTech®'s qualified accounts receivable and inventory. Final execution of a definitive agreement with regards to the credit facility is subject to completion of due diligence and negotiation of definitive loan documentation, among other things.
On May 19th, 2009 Spongetech Management raised the Authorized Shares to 2,060,000,000.
as noted in this 8-k release -
Effective May 19, 2009, Spongetech Delivery Systems, Inc. (the “Company”) amended its Certificate of Incorporation to increase its authorized capital from 1,860,000,000 shares to 2,060,000,000 shares consisting of 2,000,000,000 shares of Common Stock having a par value of $0.001 per share, 20,000,000 shares of Class B Stock having a par value of $0.001 per share, and 40,000,000 shares of Preferred Stock having a par value of $0.001 per share.
The action had been approved on May 18, 2009 by Company stockholders holding a majority of the voting power by written consent in lieu of a meeting
MAYBE YOU HAPPENED TO NOTICE WHAT HAPPENED ON MAY 19TH OF 2009????????
THE PPS HIT IT'S PEAK,,,, AND BEGAN TO TANK!!!!!!!!!!!!!!!!
Some questions investors should ask themselves before investing their money in Spongetech -
1- Why does Spongetech Management feel the need to Raise the Authorized Shares EVERY MONTH when it's revenues are rising upwards of 1000% year over year?
2- Why is Spongetech Management unable to get a Line-of-Credit for it's Accounts Receivables when it's revenues are rising upwards of 1000% year over year?
3- Why does Spongetech Management feel the need to continue to borrow money for operations from RM Enterprises (which SPNG management owns) at a 40% discount when this does nothing but HURT SHAREHOLDER VALUE?
4- Why does Spongetech Management feel the need to continue to hide their actions behind a Gagged Transfer Agent?
5- WHY?
If any of my readers can answer these question I would love to hear from you.
Thank You,, Moe Speeks
Any suggestions on what to do about it? Can we fight back against this?
ReplyDeleteYes you can fight back. Just make sure you do not invest in this company. They are more concerned with selling shares than in selling sponges.
ReplyDeleteMake sure you voice your concerns to whoever will listen,,and to those who will not listen.