The numbers now encourage patience.
The current market cap is $24 million.
the first year order of 500,000 units should bring in about $82.5 plus a few million in licensing fees.
I would assume the profit from these will be at least $24 million and more likely closer to $50 million.
With the growth potential discounted, the stock should be worth 20 times what it is now, minimum.
Clearly, if (IF) the deal proves real, we shall be rewarded for our endurance.
Good luck.
Excerpt from the PR:
The distribution agreement establishes a minimum annual purchase volume of 500,000 DynoValve? units during the first year. In support of this requirement, FlyingGlob is to purchase an initial order of 50,000 units at a price of $8.25 million. FlyingGlob has a duty of best efforts in the distribution of the units throughout the territory.
During the final four years of the contract, FlyingGlob has agreed to a minimum purchase of 5.5 million units, for a total minimum order of 6 million units during the five-year term of the agreement. Purchases are "cumulative," meaning that the allocation for a succeeding year does not begin until the entire allocation for the previous year as been completed (even if the allocation takes more than the applicable year to be completed). We estimate the successful distribution and sale of the 6 million units will produce revenues of approximately $679.5 million.
