RE:RE:RE:RE:DROSITE LLC setup in USA...MASSIVE profit flows back to PYRYou're saying that a US company owned 100% by Canadians is not a Canadian company. But if it was owned by PYR (which is less than 100% Canadian ownership), it would be a Canadian company? Better think through that again.
Nowhere did I see any indication that 100% of the revenues flow back to PYR. From the Drosrite release:
"The Contract is for approx. US$15 million in first year revenue, in addition to (i) future spare parts, and (ii) annual royalty payments." From the PYR release:
"As part of the exclusive arrangement between DI and PyroGenesis, DI will pay PyroGenesis approximately $20M within 12 months, plus $2.5 M per year (fixed) for the next two (2) years, plus a variable amount for the subsequent 18 years based on certain international benchmarks which we are targeting to be approx. $2.5M." The first year are similar amounts, however there's no indication of Drosrite's revenues after that. Could be $5 million a year for all we know, with the shareholders of Drosrite pocketing the difference between what they receive and pay to PYR.
Anyone with investing experience (especially on the TSX-V) should be aware other situations where management sets up a related company which sells goods/services to the publically traded company. Also, accusing anyone who brings up potentially negative implications of business decisions of being a shorter or spreading fear is pretty ridiculous to be honest.
Kongratulation wrote: If the Company was an "official' sub, it would be the same as if the deal was done with PyroGenesis a CANADIAN COMPANY...
That is the only thing this set up is designed to do is to allow everybody to save face...
The Saudi are dealing with a 100% American company and the equipment is made in the US... They are happy
And Pyro found a way to make the deal... We are happy...
From the information released today by the two companies, 100% of the revenues from flow back to Pyro...
All the speculation about Management trying to steal and is acting in bad faith is just done to spread fears
NOW WHY MAKE A BIG FUSS ABOUT THAT...
Maybe one needs to cover a large short or his trying to buy a large position and his spreading lies to buy shares cheaply.