Brodeur9 at CEO dot ca 6 Apr 2024, 12:06@Brodeur9 @Jpvwxyz "You are right that stock sales by $PYR or others don't help that I would rather see PYR maintain them. However, it is an easy, quick and efficient source of liquidity for them that does not affect their debt structure. I understand why, although I don't like it too.
However, I do not consider the agreement between $HPQ and PYR too expensive. I judge it adequate and fair. As a reminder, PYR agreed to carry out the R&D phases for less money. Probably close to the planned cost and therefore protecting HPQ from unforeseen events. Reminder, this is for 10% of QRR sales and 10% of FSR sales + 50% JV option. This allowed HPQ to seek less financing.
If PYR goes bankrupt (absurd and hypothetical scenario). With or without them, it's the same pressure on HPQ. Financing (grants, debt and capital) must be obtained to pay for the construction (PYR or by ourselves) of the FSR/QRR (in addition to the SiOx). It's just that we would get all the profits. Reminder, Investissement Qubec is part of the shareholder base and HPQ is clearly part of their mandate. The government will provide the necessary funds without any hassle, followed by other lenders/partners.
Moreover, we also have negotiating power with the NDAs. They have the choice to be part of the oligopoly or kill the competition by being a monopoly with us... Perhaps we will see the proud heirs of Kodak, but I don't believe so, so the oligopoly result is more certain. Especially since each of our NDAs already have networks, which in itself is a competitive advantage for everyone to have it already in place and it is easier to get into it than to destroy it and start again.
Obtaining financing is quite simple. All you need is a business plan that details the profitability and projections of the project, as well as its solidity. We are reaching the final phase of this, which will subsequently unlock value and profits. The stock price is currently depressed because people are blind and have difficulty seeing opportunity. The share price, however, does not reflect the reality of a company, nor the discussions around the business plan when things move forward. As I say, lack of vision by the investors. Or insufficient risk tolerance despite this.
All of the micro caps have dropped a lot, but those like HPQ with strong potential are very attractive precisely because they are too harshly judged. Hence the climb will be pretty crazy here soon. The macroeconomic environment being the only thing that affects all micro caps, it is interest rates, inflation, the economic difficulty of some and the lack of stability/predictability which causes delays and postponements of projects. But when the milestone is achieved... it helps. I don't tag, but 2 examples (I am in) are VNP or HPS-A. Sustained growth having reached profitability. HPQ is getting close ;). In addition to a macroeconomic climate which should improve.
Thank you for allowing me to detail it, I would have found my first text too long, but each of these points was present in itself when I wrote it."