LOY Reported Net Profit of $4.6M Record Earnings and Profit That was reported in the company's financial report as of Q3 2014 and I was sucked into this stock by the hype. Looking back now...
Four years ago CEO was working as a marketing person at Archer Education Group which was issued a cease and deceits order by Ontario regulator (thanks to the tip posted by a Poster in this forum). What other management experience does he possess other than a marketing guy?
Three years ago LOY CEO became stock promoter and education guru.
Two years ago he said ESL school was a great business and he spent $30 million of investor money on that concept.
Eight months ago CEO said agents business in Korea is even better business and funnelled over $12 million to Korea. CEO became agents business guru.
Three months ago CEO said Student Housing business is the best business (something he has no experience in) and he will spin it off so that existing shareholders can stay behind with the good and better business, while the best business is being spun off to new shareholders. CEO became Donald Trump Junior.
By April the Guru of all Trades was unable to file its annual report and caused the stock to plummet by 55% in 45 days. What other damage can the CEO cause to destroy more shareholder value?
The company already has 180M shares issued, over 200M shares fully diluted, raised nearly $40 million from investors, borrowed $15 million from banks. Looks like this company will need to raise more money again in order to fund the housing business. And the new raise must be placed at current price therefore much lower than the last batch of investors.
This management regime and board of directors have clearly demonstrated a series of lies, deceits and irresponsible actions. A shareholder revolt and regulatory investigation are timely. We need to know the truth if our investment becomes a zero sum game..
Where is the $4.6M Net Profit as of Q3, 2014? A company raking in record earnings can not afford a decent CFO with supporting staffs? Is the company under investigation of some sort without telling us? Another lie about CFO being sick? This was never mention again in all other news releases.
Everyone should start emailing the Ontario Securities Commission at
inquiries@osc.gov.on.ca and demand some actions by the OSC. I am not standing on the side line to watch my investment being eroded daily while insiders are selling ahead of me.
All INSIDERS MUST STOP SELLING!!