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Bullboard - Stock Discussion Forum betterU Education Corp V.BTRU.H

betterU Education Corp is a Canada-based education-to-employment technology company. The Company is focused on offering an end-to-end solution to automate skilling, reskilling and upskilling for companies operating on domestic and global scales. The Company provides a technology gateway and marketplace for online education. The Company collects online learning from content vendors, including... see more

TSXV:BTRU.H - Post Discussion

betterU Education Corp > USD100m investment
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Post by Stockhound98 on Jan 16, 2018 1:58pm

USD100m investment

This is almost definitely a stupid question, however I really don't understand the logic of any fund investing into a company at near to 7 times the current share price. Would someone be able to explain the logic behind this and the implications that this will have on a company like BTRU? This is a very simple hypothesis but from a basic view point, if an investment fund is willing to pump in USD100m at CAD3 per share, surely the market value of this company is sufficiently under what it should be?
Comment by GMon on Jan 16, 2018 4:14pm
The company's news release explains why a fund would pay $3 USD per share for a $100M USD investment.  Thru due diligence, there is inherent value due to "number of contracts, global partnerships, technology, leadership, first market advantage, and more".  From my point of view, the upside (900%) far outweighs the downside (20%); and it looks like it is definitely moving ...more  
Comment by stockhoseraye on Jan 17, 2018 11:33am
Here is a guess.  Present Market Cap = $23.04 Million CDN Add $100 million US = $125 Million CDN TOTAL = $148 Million there are 51.78 million shares outstanding  there fore $148 / 51.78 = $2.86 share price.  The only thing that is missing from the equation is the fact that the company burns $800K per quarter and has $0 revenue. It needs cash to survive. There doesn't seem to ...more  
Comment by Urbani on Jan 18, 2018 7:41am
Well yes the 100 Million or as you noted 125 million CAN. Works out with your numbers as a 3.75 CAN. There is also a 10 Million Dollar PP done in increments as BTRU just has their first one done... That alone would help enormously....  Make no mistake this company has explosive upside. Your 125 Million Dollar figure... Add another 10 Million CAN.... 135 Million cash BTRU will shortly have. ...more  
Comment by stockhoseraye on Jan 18, 2018 8:53am
"The initial tranche of equity investment will consist of betterU receiving use of $1.25 million worth of the media investment in exchange for HT receiving 3,205,128 common shares of the Corporation at $0.39 per share subject to approval by TSXV." This equates to BTRU a $1.25 million per quarter expense. The only way that is should increase the value of the company is if there is a ...more  
Comment by SCORPION34 on Feb 15, 2018 8:14pm
I am very skeptical. This is just an idea at this point. No business yet. Uninvestible. What would the SHarks do with  this company?? Pass
Comment by GMon on Feb 15, 2018 9:24pm
There is always a risk with any investment, but this is not a scam.  BTRU has been working on this initiative for almost half a year and invested many man hours and resources to get to this point.  News releases have been factual and provide detail for the next steps.  For my money, this is better than most venture investments such as crypto, blockchain or marijuana. The Varshneys ...more  
Comment by 87Mustang on Feb 15, 2018 11:05pm
its tough to get in now at $1 .. wish I acted when it was 58 cents... also gotta be careful of shorts.. ive seen this all too many times
Comment by Urbani on Feb 16, 2018 2:35am
Nothing to worry about... shorts coming in with a PP closing at $3.80 CAN ... hmmm... I would not be shorting BTRU that is for sure ! ha... at any rate no worries here... I will be keeping this stock over the next while anyways... why would you sell now... the PP for $100 Million U.S. is going through... so...
Comment by GMon on Feb 16, 2018 10:22am
This is not a penny stock anymore. Trading north of a buck today. Market is believing the story
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