RE:Press release. Hey Goldrush86,
Hello Pal is a little bit looser with share issuances than I would like, but I'm glad to see this was a relatively small raise with warrants 50% above the issue price. I'd love to see this company become cash flow positive so there's less dilution, but they are growing fast and a targeted equity raise can help them grow faster.
I'm not familiar with Gerard Adam, but it seems like a reasonable price to pay for promotional efforts. This company could be on the cusp of some gaudy numbers and combined with some solid promotion it could shoot the price much higher.
I didn't buy back in as I'm happy with my current position. Mostly that's because I found a couple of other places to put the money to work: NUR and NPK.
Check out NPK when you have the chance. It may not go up 500% in one year, but it has more upside than almost any other smallcap I'm aware of. It's a Brazilian potash producer with some really unique agritech products that don't have chloride in them. So, they don't kill microorganisms in the soil which would otherwise trap greenhouse gases. It's also profitable -- despite low potash prices last year -- which is incredible for a smallcap in this space. AND, it has a tight share structure that has not grown much in several years. I remember buying some shares a few years ago for $0.40 and selling at $2.00, but didn't buy back in because it was early stage. Now they are producing potash and ramping production up quickly.
Lastly, a pre-feasibility study from 2019 has the project NPV valued at around $2.6 billion CDN vs. current market cap of ~$53 million, AND an internal rate of return of something like 285% (which is exceptional). They recently launched a new product called BAKS that could assimilate between 60-80% of the Brazilian potash market due to its special features, and they're planning to do an updated feasibility study for BAKS at end of 2021.
Already the company's net-present value for the old pre-feasibility study is worth between $50 and $70 per share vs. current share price of $1.10. The CEO believes the new feasibility study will result in an even higher valuation.
Anybody who can sit on shares for 5-10 years will probably be very happy with NPK.
That's my two cents. Do your own DD.
Goldrush86 wrote: What are your thoughts on the new 1.6 mill investment and hiring of Gerard Adam's team to promote the app?
I think this I good stepping stone foreword, should keep the momentum going.
BC dude, did you buy back in on the portion of shares you sold or still keeping cautious?
PS good call on KNR ! Hell yesss !