I'm hoping it is more of a strategic move on the company's part for the acquirer to get the shares rather than a liquidity concern. Maybe that's the price to manage a share price recovery. When it's all said and done on a fully diluted basis, if they exercise their warrants and the debenture gets converted to shares that's 10% of the company.

Anything under 500 million outstanding is doable moving forward if gold goes to 2000 plus in the next 12 months. Otherwise a 5:1 or 4:1 is coming so they can do it all over again with a new pack of suckers, I mean investors.

LSG is trading above 50 cents with ~420m shares out and convertible debt, lower grade, slightly higher production. Lets call it $200 million mc.

San Gold is stuck under $50 million. So now SGR has almost caught up to LSG in shares outstanding, maybe the price will follow and eventually a 1:1 merger.