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KGIC Inc LGLTF

"KGIC Inc is an educational organization based in Canada. The company owns and operates private English as a second language school, career colleges and community colleges in Toronto, Vancouver, and Victoria."


GREY:LGLTF - Post by User

Bullboard Posts
Post by jumpth3sharkon Feb 25, 2014 8:41pm
306 Views
Post# 22250810

Factually Incorrect

Factually IncorrectHawkeye, I don't know how many times we need to go over this. I'm not sure what your motivation is here? You only ever posting negative, malicious, and false rumors about Loyalist. IMHO the company should go after you just like other posters get brought to justice on Stockhouse.

Now that that's out of the way. Here is my response to your ill meanderings:

#1. Regarding WTC... just go to wtccanada.com or business.wtccanada.com. The Loyalist Group logo can be easily found. It's also on Loyalist's LinkenIn page. The company is currently do some HTML work, but nonetheless, WTC Vancouver, Toronto, & WTC Business College are all very much apart of the Loyalist Group portfolio.

#2. How can you assert "thats what happens when you are under pressure to make an acquisition and buy schools that are losing money?" - that statement is factually incorrect. Not only is management not under pressure to make deals, but rather that's the accretive nature of the business model. Acquire and consolidate. As for SEC losing money - SEC reported a NET INCOME of $1.16 million in its most recent 12-month period (as per the acquisition press release). Are you saying that SEC and Loyalist lied to regulators and shareholders? Because that is sure what you are implying. You should be careful what you write on these public forums Hawkeye.

#3. As for "SEC being a redundant purchase" - what else do you expect them to do with the money that they've raised? Management's job is to operate ESL and TESL campuses. The business model is based on growth by acquisition and then consolidation. That fact that there is NO COMPETITION within this space in Canada besides Loyalist gives the company massive first mover advantage. SEC fits perfectly within LOY's business model. Management negociated very favourable acquisition terms, and have lots of room to condolidate and improve SEC's poor operating margin. It was actually one of my ideal targets for Loyalist to acquire. There is maybe now 5 or 6 privately owned ESL schools with greater than $10 million in revenue, and while SEC didn't quite meet that threshold, it is a large player within the industry. I would like to know why you don't think that SEC is a perfect fit?

#4. As for the false and malicious unionization rumour, it is just that.

Unionzation IS one of the risks that investors are aware of regarding their investment in LOY, and as the company scales in size it may come to fruition.
BUT until that day, let's not go around touting unfactual statements trying to scare (prospective) shreholders.

#5. Hawkeye, try backing up your statements with proof. Please anything. Honestly... Except that you cannot. You seem like a very bitter individual with nothing better to do with their time than make up false and malicious claims on public bulletin boards!

Do you even know what the point of bulletin boards are?

They are a place for INVESTORS to get together and share their thoughts about the company. To pool together information, and examine all of the little facts and details. Not to BLANTANTLY ATTACK a company with no foundation or purpose.

And besides...

LOY keeps getting more & more analyst coverage (all positive and all Buy or Strong Buy recommendations), and its share price keeps rising. We hit that 52-week high recently and have been holding nicely around .70

Management keeps impressing by adding new revenue streams (franchising & student housing most recently), and keeps us shareholders updated.

What more could you ask for?



Bullboard Posts