Altman is very much a supporter of existing shareholders and he doesn't favour Baystreet at all, in fact he dislikes their tactics and those of Wallstreet. I suggest you call him and ask him. I have had many discussion with him, both in person and other means on this subject. I can say the idea of a rights offering has been discussed in the past and the downfall of this approach is it requires a major backstop because a rights offering failure is a death knell. Plus the costs of administering this approach are very high. The plus is as Munisign suggested all shareholders can elect to participate based on their holdings. I myself would participate to the fullest extent possible if such an offering was too materialize.
What I will say is the company is not planning any equity financing that I am aware of and in fact has stated quite strongly this appraoch is not in their plans. The company has been actively pursuing options for future development that doesn't include equity and have had lots of expressions of interest but first they must have a baseline econimic study. I would anticipate debt to be rolled over in the coming weeks before any longer term plans are set. Of course plans can change as circumstances change so never say never. I am looking for the scoping study before drawing any conclusions or suggesting any further course of action to the company.
