GREY:SFMGF - Post by User
Comment by
valueplaysonlyon Feb 14, 2014 6:27pm
94 Views
Post# 22212689
RE:valueplay... i didnt figure u were wrong i knew you were
RE:valueplay... i didnt figure u were wrong i knew you were
Who cares ? Their sales are pathetic, their annual sales are equal to 2 averagehouses sold in Toronto. They have collateralized the ENTIRE company for 400 k. The insiders are not buying shares at the all time ever depressed price. Natural gas is at a 5 year high, the spot rate was double that of 2012 , improving the IRR of their pruducts yet sales fell. they dont even have enough money to wine and dine unless they think they can consummate sales over a subway power lunch. I bought 200 k shares today for one reason, i can afford to lose 2 k. I will see if they can snag a big permofrac order but the fact that Gocek isnt buying tells me the chances are slim to none.
They cant raise money at this share price. A consolidation might get them enough time to rattle off a highly dilutive PP. They have opted instead of equity financing to pay legal loan shark rate of 12 % on the loan, with the entire company collateralized on a paltry 400k.
In effect the lender is saying pay me 12 % on all monies but I will only forward toy 400 k but I want the entire company if the 400 k isnt paid. This is a show me story for financier who effectively is saying if you cant do anything with 400 k and grow sales I will take the entire company. so thereu go. This is your ultimate risk reward scenario. If sofame delivers with
the 400 k the shareholders keep the company and the financier may forward additional balances. so this is gut check time for Gocek, you got your 400 k, the entire company's equity is on the line, produce or the company is finished.Could be a thirty bagger could go to zero.