RE:RE:RE:RE:RE:RE:RE:RE:RE:If you spend $1.5 billionOnly an idiot like the bag holder you are would try to make a positive argument why a sp of 27 cents is a good thing. LOL. Hey if it goes to 5 cents is that then a better deal on the acquisitions?Remenber when Hexo was diluting, was it $25 million a month(?) to satisfy the loan requirement. That "death spiral had nothing to do with the decline to the sp it was the bear market hahaha. Hey clown you sold Hexo for some profit on that pure luck run-up that was not substatiated by anything but held 50% so you must be down but like to tell everyone just how brilliant you are.
No I was the first to recognize that the Redecan deal was unfaorable and said that. Keeler is correct on almost all he says about Hexo and likely your little secret with Queerlash. Maybe Hexo should buy out Tilray for $1.5 billion in shares? LOL. You are the loser that is on this board constantly for some reason and not sure why given your apparent wealth. Something tells me you are full of shlt on that one too.
Touran77 wrote: VeritasVern wrote: Tourfaud, you need to stop typing as it is clear to everyone how much of an idiot your really are and understand little about stock trading. Perhaps stick to reading bollinger bands - if you are any good at that even.
Firstly, I know about the upside and the sp calculations, thanks I've been trading for decades clown. Secondly, somehow you just don't get that over-extending to acquire a company is a not a good thing. Why? A little 101 for yourself - Hexo couldn't afford it and that became clear once the income/expenses and cost of aquiring Rede was determined. They almost went bankrupt, imagine that a company that was #1 in a lot of categories and essentially had to give themselves away to Tilray, which they wlll never recover.
Now you say why not take over Rede for all shares and no cash - because Rede owners and other companies know that, for a company such as Hexo that is bleeding the end result would be shares that become worth less due to dilution. So the Rede owners demanded $400 million in cash versus what would be about $14.3 million in share value today. Doesn't take a genius to figure that out. Heck why doesn't Hexo buy out Tilray for shares only....lol so clueless. So for a simpleton like your self that can only semi-read charts - the upshot is that current sp reflects in part all the dilution that has gone on. But wait, weren't you and your wife, queer blabbing about how great all the acuisition were and how Hexo was going parabolic? Oh guess you both were very very wrong on that assumption.
BTW the Hexo outstanding share count is now $601 million and counting....where next 1 billion or wait they are going to do yet another reverse split but this time likely 20/1. LOL
Touran77 wrote: VeritasVern wrote: Wrong Touranuran, essentially buying a compay for shares has the same effect as using cash. In the end the cash was mostly settled via share offering anyways and that had a negative effect. Baggies like yourself and the #1 all-time baggie champ like queer get your shares severely diluted in both cases. Shorts understood that and they made a killing at your expense, while queer and others held "the bag" and even averaged down from $7.50.
You likely don't recall but at the time of the Redecan deal I said that at a cost of almost $1 billion combined - Hexo could not afford that and in reality Redecan bought Hexo.
Looks like I was correct on both fronts. So apparently you have a vast portfolio, why are you wasting your precious time on here, especially given that both Keeler and myself have essentially won the debate - now that the stock is 27 cents.... LOL
Touran77 wrote: VeritasVern wrote: Queerlash you are the #1 most pathetic on this board. So if Hexo shares drop to 10 cent the Zen/48N/Rede buyouts are even a better deal? Wow wouldn't it be fantastic if Hexo dropped to 1 cent even a better deal yet. Quoting the income of the companies without the respective losses is missing the point and on why Hexo is now a 27 cent stock. And if such good aquisitions why did they sell off most of the company assets. Clearly they should never have bought Zen and 48N and Redecan was way over priced to the point Hexo is essentially bankrupt which set the stage for companies like Tilray to get them for cheap. You guys are both clueless.
quinlash wrote: Touran77 wrote: Hello Keeler :), me again since no one else care about what you write.
Anyone following Hexo knows that they didn't spend 1.5B for acquisition. Those dollar figured were based on SP around Feb 2021, which was, and I quote you on that one, "crazy overvalued".
Here is how much the acquisitions of Zenabis/48N/Redecan actually costed Hexo:
Zenabis: 17M shares, worth around 4.4M as we speak. Zena brought at the time around 9M in sales a quarter or 36M annually. Do not forget about brand and IP.
48N: 5M shares, worth around 1.3M as we speak. Do not forget about brand and IP (especially in cosmetic).
Redecan: 70M shares, worth around 18.2M as we speak PLUS 400M in cash. Redecan brought at the time around 20M in sales a quarter. Do not forget about brand and IP (Do we really need to talk about Redees?)
Total of 423.9M.
Funny how Keeler's double standard work :p. He likes to used the The highest SP we have seen since November 2019 when it is time to put a dollar sign on the acquisition made with shares, but also like to say that this SP was never supposed to happen and that it was "crazy overvalued" at the time.
Good try, you might have caught some naive investors here :).
Touran
You guys are the saddest traders I have ever seen. If you had followed the news released by HEXO Corp on the transactions you would have seen it was a
mix of cash and shares.
The portion of the deal based on shares was also based on the shareprice
AT THE TIME OF THE DEAL. Therefore the
VALUE of the deals were coined as much higher than what they would be if they took place at the
CURRENT shareprice.
Touran actually did a nice summary IMHO, you should be thankful someone is making an effort to identify where you are making your mistakes / assumptions.
No Verny that is not how you are supposed to see it.
The way you are supposed to see it is that by making deals with shares, Hexo protected itself from brutal bear market in the sector, which we have seen.
Unfortunately the 400M cash wasn't protected against it and this is why Hexo tanked more than the others. One the other hand, who would have thought the bear market would have been that brutal? Weren't you the one saying at 2$ that "one would be stupid to think Hexo is going to 1$"? Well we are now at 0.27.
If you knew how to trade, you would wait for a macro reversal in trends and would make money out of it instead of just posting on a childish forum to spend your precious time :).
Touran
Yikes, mathematic 101.
Let say Hexo bought Zenabis for 200M in cash versus 20M shares at the time when the SP was 10$. *using round numbers so that even a dumb dumb like yourself would understand.
Then Hexo would have needed to raise cash in order to pay or replenish the cash they had before.
But at that time the SP just quadrupled, do you really think there is investors that would have pitched 200M dollars at high SP like that? No.
So basically Hexo would have needed to dilute later at a way lower SP. Let say 5$ So that the exemple stays easy for you you to calculate, That would mean raising 40M shares. (Basically the same story we are seeing with the 400M in cash Redecan got).
Which one is better? 20M shares for the acquisiton or 40M? Doesn't take a genius.
Now you could counter argue in saying, well if the SP had exploded, that would be the complete opposite. I don't think you are smart enough to think about that, but for the purpose of other readers.
Well you would be right, however, as I said, the SP just quadrupled at the time, so it was basically a question of time for when it would correct.
In summary, acquiring through shares l, remove the uncertainty behind sector and even market in general
movments. At that time SPY was at ATH and so was a few names in the sector, correction was innevitable imo.
GLTA
ps: let me know if you finally get it, might take you the entire weekend to do it based on calculations I have seen from you before.
Touran
Hexo became number 1 after buying Zena/Redecan lol so one cannot happen without the other :p.
If you have been trading for decades, you know you dont want shares that quadrupled in price in 3 months, that is why Redecan wanted cash yes and we all understand it, one of the reason why since June 2021 I'm telling people not to go heavy on Hexo.
Hexo wouldn't be as much in trouble if that bear market hadn't been as bad as that, and yes no one could have expected this. Do I really need to bring you quote about hexo never going down to 1$ genius lol.
You are just useless here and are repeating what your master Keeler is saying and trying to say that those were your arguments lol. You were the stupid one that told people Hexo was going to 2 when it went up to 14 lol :p.
I really hope you trade with not much money, otherwise decade of losing is probably hurting a lot! :P
Have a great weekend my friend, was fun having you on the board, please come back next week so that we can make fun of you again.
Touran