The good news attached will be that they've raised $2.6m and kept the lights on and kept the company solvent, thereby preserving the assets that have been acquired and developed to date.
I'd rather that the company pays for an acquisition in shares as it indicates that the vendors have faith in the project as well, rather than merely taking a lump sum of cash and running to the hills. Also, paying for the acquisition, and paying some suppliers / service providers in shares is also a positive thing as it preserves cash resources for developing the projects and adding value, plus preserving cash for things that can't be paid in shares like rent, license renewal fees etc etc.
I certainly take payment in shares from time to time for the services I provide to some small cap listed companies, particularly where I can see an upside to where they are today. Otherwise, I'd insist on cash to settle an invoice.
VEC Price at posting:
2.0¢ Sentiment: Buy Disclosure: Held
