Jun. 4 at 9:09 PM
$CETX Calculation of dilution:
If exactly 4 million new shares are added to the existing 1.11 million post-RS shares, the theoretical price of
$5.726 USD will be reduced by 78.28%, dropping to
$1.24 USD.
This decline is calculated using a basic dilution formula, assuming that the company's total valuation (market capitalization) remains constant but is distributed among significantly more shares.
Mathematical Calculation of the Dilution:
-Post-RS Company Value:1.11 million shares ×
$5.726 USD =
$6.365 million USD.
-New Total Number of Shares:1.11 million (existing) + 4 million (new via warrants) = 5.11 million shares.
-New Price Per Share:We divide the total value by the new number of shares:
NewPrice=
$6.338MILLIONUS / 5.11 million shares =
$1.24USD