OTCPK:JENGQ - Post by User
Comment by
BayStreetRolleron Mar 22, 2021 10:50am
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Post# 32849911
RE:RE:RE:JE news update
RE:RE:RE:JE news updateAnd not trying to troll this board at all. But what kind of company slips this into a news release that is titled "Just Energy Provides Update on CCAA Process"
"The Company is also continuing to wind down its German business, which the Company had been trying to exit since early 2019, and has commenced insolvency proceedings in Germany."
I feel like Just Energy has so many skeletons in the closet and aren't above board when it comes to business dealings. There is a pattern here. These aren't isolated incidents. They gloss over larger issues or try to bury negative news (which there are many, and continue to come out).
A few that come to mind (and if anyone here knows anything, please share:
1. Home Water? Is that generating any revenue since that acqusition in 2018. Cost the business $15 million (plus took on $22 million of Home Water's exsisting debt). I see nothing on Just Energy's website about Home Water.
2. What were the sunk costs on Japan/Germany? Why did these expansions fail when the company was highly touting these just 3 years ago as corner stone pieces of the business.
3. Customer attrition - What tactics are the company using to addess this loss in customers? I get that they are playing the card of getting rid of bad customers (low credit/low usage) and focusing on high value customers - but aren't ALL energy companies doing this? Doesn't sound like a business strategy to me. It's just what ANY business should be doing - no need to pump this as a quarterly support point in the release.
4. What are the implications for getting even more credit to cover the $250-$315 due to the weather event. Can we expect another recapitalzation? More share dilution? This money isn't going to come for free.
Road forward is questionable at best - aside from the weather event - JE has been flailing for years. Look at the 5 year stock chart - do people think that we are going to all of a sudden snap this trend and begin a lift? I don't see it.