Exro Technologies Inc T.EXRO

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Insider ownership is not that good

[AlwaysLong683]

Bookworm28 wrote: ePropelled isn't going to get any compensation from the lawsuit. There are no damages (e.g. lost revenue), as Exro has no revenue. You can't speculate during litigation, saying 'we think we would have got these clients or customers, and we think we would have sold them $5 million of our product'.

It's a patent infringement lawsuit, meaning ePropelled believes (or is pretending to believe) that EXRO trespassed on ePropelled's patents and thus should either negotiate a settlement whereby ePropelled gets a % of any eventual revenues for any product EXRO eventually makes or sells using ePropelled's patented technology, or hope to get a verdict whereby EXRO is prohibited from using technology in which ePropelled holds the patent.

That having been said, if EXRO already obtained patents for all they are doing, the suit may be thrown out, but it could take a while for that to happen and the overhang of an ongoing lawsuit could continue hurting EXRO's share price and future equity raises.

Also, I doubt any lender will provide a loan to a company that doesn't generate any revenue, so I suspect EXRO will have to either raise enough money via future equity raises to put their product(s) in production and generate sales before they can obain a loan, or partner with another entity who will receive a % of EXRO's eventual revenues in return. Another factor to consider is, if interest rates rise as the markets seem to be expecting, EXRO may find that they will pay dearly for a loan if and when they qualify for one as a financial insititution will likely demand an high rate of interest as EXRO will likely be seen as a much higher risk than say, a  a company with a track record of not only revenues, but profitable earnings per share numbers and steady incoming cash flows, like telecom or utility stocks....

JMHO