ZERO reason??? You have got to be kidding.
1) Early investors were hurt. Price was at .30 for the last RS.
Well the best I can tell, that happened in in 2013 when all the company had was basically an idea. Sounds like the early investors were taking a big gamble. VERY very different story today.
2) Get a project done and producing revenue. Last I checked BLSP has 4 fully operating plants in Italy.
Don't need to raise money? How do you think these projects get paid for?
3) Caterpillar. Yes, i would agree this is a good show of faith in the management team. But if you have ever gone to a BLSP presentation at any of the financial conferences and asked the same question, you would know that they ended up not being OK with the technology. Which, by the way is why they were willing to lend the money.
This company is so crazy underfunded. From what I can see, it is pretty impressive that they have only raised something like 7 or 8 million at the corporate level during the entire time of their existence. This is less than 1.5million a year on average. Who can survive this way, doing what BLSP is doing?
Let's say you are right. Then lets pretend that the total EBITDA at the project level is actually the earnings at the corporate level. Then lets put a ridiculous multiple on this earnings. Lets say 20 times.
The market cap would be less than 250million. The price would still be below a dollar and most institutions would still not be able to buy.
Guys. The key here is liquidity. Right now, basically the only people, with a few exceptions of course (Lazarus), that can trade BLSP are the people on this board. We need institutional investors to help provide that liquidity and BLSP needs their money for growth.
We should be asking the company how they are going to raise a large pool of capital. This is what I would like to know. BLSP talks about their big list of projects. Well, they are going to need cash to build or buy those plants. Equity cash. I am not concerned with dilution if the cash is buying more assets or cash flow.
My view is this. Each plant has a long term agreement to buy the power. For the first few years, it looks like they are just servicing debt. But the purchase terms are so long that as they buy or develop more and more projects, with the proper funding of course, they company will become more and more valuable.
This is why they need more equity capital. I think if these guys manage this properly and do a reverse when the announce that they bought some new projects or announce that they completed the american projects or even started to build a new project, it could be a very good thing.
If they do the reverse and announce nothing, then it will be very bad!
Any way, just my opinion of course. I like this space a lot. Seems to me that with all of the regulations in america, this company can be in the right place at the right time. I hope so.
