Leet Technology Inc (LTES)

[Sobek]

Awesome to see you here chakalalaBoom! Great bunch of posters here all with excellent insight on the company, the market they're in, and overall awesome DD.

Here's a previous post highlighting some of their achievements. Keep in mind that the majority of their growth came after the last 10-Q was filed and before the year ended and going into 2017 was when things really kicked into high gear so, next report should be pretty awesome.

Also the CEO has already taken on a controlling non convertible preferred position and we're estimating he'll retire 8 million shares as outlined in the March 8th and February 7th PR. It looks like they want the o/s right around 10 million shares which will be perfect for up listing to a major tier.

The loan they're talking about in the March 8th PR is a very friendly loan with no prepayment penalties and interest only payments for 36 months. There are ZERO toxic shares issued for debt and the float is and has remained right around 5 million shares.

I really see huge potential for these guys and believe they are one of if not the most under the radar company on the OTC.

Here's that previous post.

$BDIC basic due diligence recap: Official first date of trading was September 30, 2015. They started trading shortly after coming out of R&D and marked January 1, 2016 their first day out of start-up. The company was incorporated in 2013 and is a Delaware corporation.

Their main source of revenue comes from leasing their BDI747 breath alcohol ignition interlock device (BAIID). The device is lab certified by NHTSA standards and approved and regulated through state by state judicial systems to enforce penalties placed upon convicted drunk drivers.

Since coming out of startup on January 1, 2016 and up through September 30th 2016, they've increased revenues over 600%, increased GP just over 550%, and improved eps by approx. 70%.

Their liability/asset gap has closed from liabilities approx. 250% more than assets in December of 2015 to liabilities approx. 15% higher than assets in September of 2016, with strong indicators assets will exceed liabilities in very short order.

Since mid August of 2016 through January of 2017, they've increased revenue generating assets approx. 300% and set a goal to capture approx. another 400% above that during the remainder of this year. Their 2017 end of year goal is to have over 10,000 BDI747 units leased and on the road.

Their last reported number of BDI747 units leased as of January 30th was approx. 2,000, up approx. 800% since December of 2015. They are currently on track to have approx. 2,700 BDI747 units leased by the end of March. 

Last reported share structure is 100 million authorized as of September 2016, 18.6 million outstanding as of November 2016, and approx. 5 million shares freely traded as of February 2017 as reported per their Feb. 7th press release.

On February 7th the company announced a commitment to reduce the number of outstanding shares by up to 50%. 

In October of 2016, the company partnered with their own institutional investor, The Doheny Group, who currently owns a 9.99% common share interest in the company.

The BAIID market is financially evaluated by multiplying the average monthly rate to lease the device provided by manufactures nationwide by how many devices are actually leased and on the road over a 12 month period.

The growth of the market is based on drunk driving conviction laws rapidly changing across the nation. These new laws place stricter penalties on lower breath alcohol levels and first time convicted offenders. These laws include mandatory, court ordered use of BAIIDs.

As of March of 2017, there are 28 states that enforce these news laws that are increasing demand for BAIIDs. As of 2006, there was only one state, New Mexico.

Since 2006, the number of BAIID devices is use has increased from 101,000 in 50 states, to an estimated 328,000 as of August 2015 in just the 28 key states that enforce these new laws. It can be very roughly estimated there were close to if not more than 425,000 BAIIDs in use in all 50 states as of August 2015.

2006's overall market revenue from the device can be estimated to of been approx. $103 million based off a monthly rate of $85 per unit.

2015's overall market revenue can be estimated at just shy of $400 million based on the 28 states reported and a monthly rate of $100 per unit.

The number of states enforcing this law went from 1 to 14 between 2006 to 2014. Then in just 2 short years, 2015 and 2016, an additional 10 states have begun to enforce these new laws.

It can be estimated that by 2019-20, all 50 states may enforce some type of these new laws. California which is the second highest ranking state, has signed off on adapting these new laws and will go live enforcing these new laws statewide I believe in 2019. This change will increase California's demand for up to if not more than 80,000 of these devices creating its own $100 million annual market and will be the number one ranking state in the nation over Texas who is currently number one. California is also the company's home state and where their headquarters is located.

In total, it is estimated that close to if not over 1,000,000 of these devices will be in use nationwide in just a few short years which will reflect an increase of an estimated 1,000% in just over a decade.

That also equals this market turning into over a $1 Billion dollar a year industry by 2019-2020 with only approx. 65% of all drunk driving convictions resulting in mandatory BAIID use, leaving just under another 60% growth potential until 100% of drunk driving convictions result in mandatory BAIID use.

Refer to this link for some charted data showing the company's growth.

http://investorshub.advfn.com/Blow-&-Drive-Interlock-Corp-BDIC-30390/