The first lie in the Seeking Alpha bloggers post.Interesting how the author would recommend a short without accurate due diligence. Or maybe he has performed the due diligence but is just plain lying because he already has a substantial short position and sees the need to cover?
Wow. There is a huge list of incorrect statements in that post. Lets deal with them one by one as time permits:
SA> The Toronto-based company originally developed solar trackers.
Wrong the company was originally a telecom R&D Company and received funding from the US defense department beginning in 2001 and continued to receive funding as needed for R&D to develop POET platform. That need has ended and the company no longer applies for SBIR funding as they are now focused on the commercialization of the POET platform. They only switched to solar when interest in telecom dried up in the dot-com bubble.
From the first MD&A for the quarter ending June 30,2007 filed after the company went public:
Opel was founded in December 2000. It received its first two government contract awards in 2001, for an aggregate of US$1.07 million. During 2001, Opel demonstrated its first thyristor operation (electrical only) and obtained two patents. Since then, Opel has been granted a total of $5,230,000 in government contracts.
I think we all know that the US defense departement was not funding OPEL to design solar trackers.