RE:RE:RE:RE:Why Are Institutions still not buying into LND story?Well the good questions should be:
Why Marc Heskel accept the job at LND if he dont see the huge potential. Since the company has switch to a more aggresive path of growth obviously we need to have new people to handle that path. The lending business is doing great so we need less people on that front. It is not a purge per say. LND has always been a company that is very lean on their expenses and it's a quality.
Some people dont ask the right questions because for i dont know what reason they selectively omit the good parts of a transaction and just focused on the bad parts. The scary parts is they tend to lie and lie to get to their point. First D& G dont get anything in the transaction. Up to now with their initial investment in LND at 0.87$ per share they are losing money instead. And all the warrants get purged by the end of this year. So basiccally management is working for free. Second the transaction did not cost LND 25% of it's value. Even a kid knows it. The dilution is only 16% at the most and for the 2 millions cash LND can pay it with less than 2 quarters of earnings. The good parts we get in return is 3 millions of contracts revenue for this year and maybe 7 millions next year. The issue of the 600000 options are for the new exceptional guy we just get in the company and we rely on him to grow the Saas business so it is rather normal for every business to get the best guy to do the job.
So as you can see some people tend to put the wrong questions and on top of that lie on their supposedly own answers. It is not mean to say they don't understand what the company is doing not to say they just dont understand at all what is LND period. It is sad to see wannabe investors losing their money while not knowing the company they are investing in. Some say they are shorting the stock well sad thing is there are virtually no stock shorted for LND. Some say they just put down the company to get cheap shares...well maybe but by putting down the company everyday i doubt it. Really weird indeed.