Muscle Pharm Corporation (MSLPQ)

[Madcowelixir]

Another $400K a year bookkeeper yet Ryan can't pay the suppliers and has been sued for about $40,000,000 by my guestimate. Keep on Stiffin' Mr Chin.

[Madcowelixir]

linkin.com/madcowelixir

No soliciting please.

Slate Rock and Gravel Company - Broom Technician
2012-present

Unemployed
2008-2012

Self Employed - Aluminum Can Logistics Technician
1999-2008

Unemployed
1990-1999

MBA - Anderson School of Management
1988-1990

BS Mathematics - UCLA (Hey Reggie!)
1983-87

My interests: CRT, CNN, BJJ, BLM, SARMS, JDL, CEO, Surfing, Cycling, Driving Daddy's Cars.....

[SLC-JD]

What does owning a business have to do with being able to read a company's financials? Every filing seems to have yet another note about a stiffed vendor filing suit, while referencing all of the past lawsuits that have been 'settled' but never paid.

[Ginger6763]

I have a idea let’s invest in one madcows business, let me guess you don’t own one. So why should we take advice from you.

[Madcowelixir]

Hey, I have an idea............Let's scam nearly every supplier we have, get sued by about a dozen suppliers, endorsors, partners, employees, investors, etc.... and then advertise a reverse stock split and mention we may be moving to NASDAQ exchange (who have fairly strict qualifying financial standards over set past periods of time based on size and profitability of company) and have a stock offering party!!!!!!! Who wants to invest? Step right up foo............750 shares have traded this entire week and at .17 cents so literally $127 of MSLP has been "possibly" traded as on the pink sheets you can never be assured that any trade is between 2 consensual parties in a true transaction. Don't pay attention to the clause that says even though we are mentioning the NASDAQ we may not qualify. That 22m shares of overhang from the preferred note I spelled out the short strategy need to be sold retail and we will say anything to try for attention and sucker retail.

https://www.sec.gov/ix?doc=/Archives/edgar/data/0001415684/000149315222017031/forms-1.htm

[Madcowelixir]

Another "scam" pulled by Ryan on a 9 year supplier; this one for $4.6m. SK Labs. Lets count some of the others: Capstone, 4Excelisor, Nutrablend, Bakery Barn, ThermoLife, Natural Flavors, etc.....all told probably $40m by my rough estimates. And SLC wonders how MusclePharm has avoided bankruptcy to date. Evidently you have to "steal" other businesses wares and not pay them and then sell the suppliers product to Costco and Amazon to fund MSLP's -$14.5m in losses the past 12 months.

On May 3, 2022, SK Laboratories sued MusclePharm and Ryan Drexler in Los Angeles County Superior Court. In its lawsuit, it is alleging (1) breach of contract, (2) breach of personal guaranty, (3) fraud, (4) unfair business practices, (5) intentional interference with prospective economic advantage, (6) negligent interference with prospective economic advantage, and (7) common count on book account claim. According to the Complaint, SK Laboratories was a contract manufacturer for MusclePharm for approximately nine years manufacturing “a variety of nutritional supplement products.” Further, according to the complaint, SK Laboratories alleges that MusclePharm has defaulted on payments due on purchase orders totaling approximately $4,608,980.12, and a breach of personal guaranty of approximately $500,000 against Ryan Drexler for purchases of whey protein SK made on MusclePharm’s behalf. There has not been substantial activity in this case given its early stage. MusclePharm’s answer is due on approximately June 21, 2022.

[Madcowelixir]

When you desperately attempt to sell your product retail at the same price it cost you to buy it from your supplier.



Now calculate the up to 200% interest and fees you are paying on the capital to buy from the supplier.

Now calculate all the administration, salary, commissions, advertising, etc.. expenses associated with the desperate attempt to just move product.

Just like the initial Energy Drink International channel stuff was almost $500,000 and yet 6 months later only $31,000 of orders came back to refill AND expand the channel.

From 2021 10K showing year end sales that launched at the beginning of Q3


From 2022 Q1 10Q


This new Energy Drink is going over like a fart in church.

[Madcowelixir]

Someone asked me(!) for "proof of life"

I would turn the mirror to this 12 month chart showing MSLP equity is down greater than -90%.

Where's my defibrillator? Trust fund babies don't make good doctors either.

[Madcowelixir]

Where is the "ask" again today?

Here is my post from last Thursday and in the 2 trading sessions subsequent the "ask" has not moved off .23 cents for even a second and only 2574 shares have traded; all at .1729 cents. Only 21,997,426 more shares to go.......

[Madcowelixir]

The darn quality control with supposed RockStar professionals who now work for MusclePharm. I see 10 verified reviews in the last 5 weeks on Amazon (not exactly flying off the shelves at 2 retail orders per week) and nearly every one reads like this which is the most recent:



Is Ryan having problems with inventory due to non-payment, like nearly every other vendor he has contracted with? Is the bottler forced to just throwing the variety packs together with the "spillage"? Or maybe Ryan is just bottling this stuff himself in his rental home garage since MSLP has no headquarters.

[Madcowelixir]

SLC-JD

I don't know.........the below pic is looking very much like the un-cast, yet very effeminate 4th Charlie's Angel.

Notice the hilarious clause I highlight in the 2021 10-K?

Sabina too, looks like she caught some of Ryan's propensity for delinquency when you read the bottom of the screenshot.

The "gentleman" in the pics with "Farrah" turned "Rick Rubin" is none other than Michael Heller, the "recently" appointed MSLP director and also chairperson of the compensation committee whose first and only "action" that I can tell was to give Ryan an additional $900,000 raise to $1.6m in 2021 despite greater than -80% decline in MSLP revenues since Ryan was appointed CEO.

The first pic looks like it was taken at Studio 54 at least two decades or more ago.

The second is just a little more recent when both we're going through that "furry" fetish, but clearly a "non-business" relationship Michael has existed for a "long" time.

But the 10-K is sworn and signed so we must "trust" all is on the up and up though not too long ago Ryan threw his former college roommate and best friend former MSLP COO Brian Cassuto under the bus when the MSLP reported revenue reported was found to be fraudulent "due to bad controls".

Brian took knife in the back.

[SLC-JD]

as one of my Aussie friends often says:

Yeah....nah



full disclosure: I have always been, and remain, team Mary Ann.

[SLC-JD]

I was leaning toward Sabina. I just can't see Drex's ego letting him assume a sockpuppet with a handle as feminine as "Ginger"

[codie]

Ryan? Is that you?

[SLC-JD]

[Ginger6763]

Madcow 101. 1. Madcow never owned a business. 2. Madcow is low level shorter. 3. Madcow knows nothing about finance, definitely not a CPA. Madcow show proof of life why we should even listen to you.

[Madcowelixir]

Trading 101

22m shares at .231 cents. That "should" be a firm price lid on this equity. Nothing higher unless it's a fake round tripper transaction IMO to bait retail but can't be sold into.

The "mystery" warrant holder should short every share at that price to protect his warrants (exercise price .231 cents) and profit on the equity price decline and yet have 22m shares at his disposal to cover any monkey business related to short squeeze.

Unless a real seller appears, this Market Maker will have an "ask" of .23 cents all day every day up to 22m shares of volume which this equity trades "organically" at about nil so it makes no difference.

Any "holder" of MSLP shares should now realize that the best case scenario for your sell price is BELOW .23 cents. If you "ask" .23 cents, you will be stepped over by the warrant holder and it could go lower if the warrant holder decides to short every retail share buyer that appears because he effectively is owed $10m and the warrants are essentially worthless and holds 1st lien on all assets except 2nd lien on the receivables that Prestige Financial purchases at 20% discount from Ryan.

[Madcowelixir]

Gross Margins don't cover this expense!

Ryan received $7m in this first "mystery" preferred secured note deal (October 2021) and was contracted to pay back $8.1m in 6 months (April 2022).

Ryan couldn't pay back the the $8.1m by the maturity date so now Ryan owes $9.8m.

These are Tony Soprano shylock rates.

How is Ryan going to pay back the penalty $3m in "juice" AND the $7m in "principal" when you couldn't pay even the original $1.1m of "juice" on time?

Ryan can't even come close to "break even" on EBITDA and is posting multimillion dollar operating losses, much less after the shylock "juice" payments that are due.

Let's look at last Q. $13m in revenue and 95% Cost of Revenue just from the suppliers (some of whom are not being paid and have pending lawsuits like Bakery Barn supplier of Combat Crunch Bars).

Ryan posted a loss of -$6.1 MILLION just in the 90 days of Q1 2022 and now they owe another $10m in debt to a "mystery" secured bond holder?

This is Crazy Town. Amazing that Ryan was able to charge you shareholders $50k for his personal moving expenses and a $7k a month allowance for a rental home.

Bet the trust fund baby wishes Daddy Halbert was still alive as he needs a bailout.....again......desperately.

Who is this "mystery" bondholder? They now effectively own 40% of MusclePharm and are owed $10m in cash due in just months and the shylock penalty "juice" is compounding at a Tony Soprano rate.

[Madcowelixir]

Ryan doesn't have that luxury. Can't even pay Bakery Barn the Combat Crunch Bar manufacturer so that revenue stream is no more.

Ryan's modus operandi has been to stiff the unsecured suppliers and marketers for as much as possible for as long as possible until they are forced to file a lawsuit.

Then Ryan threatens bankruptcy to get them to settle for pennies on the dollar spread out over years all the while raising his own salary and bonuses every year from about $500k his first year to $1.6m as of 2021 all the while revenues have declined over -80%.

This is how he has financed the losses since his ascension to CEO.

Remember the Capstone lawsuit? Excelsior4 lawsuit? Nutrablend lawsuit? TWO separate Bakery Barn lawsuits? Thermolife lawsuit? Arnold Schwartzenegger lawsuit? Tiger Woods lawsuit? Manchester City lawsuit? etc....... All told I am guessing well over $40m was essentially stolen, grifted or not paid and then as cherry on top was reported as profit on the financials covering up even greater massive operating losses.

Ryan falls delinquent on his personal residence property taxes so what does he do? Hires one of his party boy friends as compensation committee chairman and gets MSLP (hence shareholders) to give Ryan $7,000 a month for a rental home for himself.

[BlueChip$]

I'd be interested to know if any of those proceeds are being used to pay the recent lawsuit loss.

[Madcowelixir]

The simple truth........

"mystery" entity just acquired 40% of MSLP (warrants for 22m new shares) for loaning Ryan $2.5m and gets paid back in 6 months at 20% interest.

Meanwhile Ryan is using these funds and stiffing suppliers to fund his $1.6m a year paycheck and his company fund paid $7,000 a month rent allowance for a place to park his daddy's Lambo.

The end is clearly nigh.

[Madcowelixir]

Yikes!!! Dilution Alert nearly doubles Outstanding Shares and More Massive Interest Expense as they continue to stiff suppliers to the point Combat Crunch Bars are no longer available. So $2.5m in cash supplied and draws ~20% interest in 6 months and 22m "free" shares (see below). Crazytown!

MusclePharm announces additional private placement of $2.5M senior secured notes
Jun. 07, 2022 5:50 AM ETMusclePharm Corporation (MSLP)By: Niloofer Shaikh, SA News Editor

MusclePharm Corporation (OTCPK:MSLP) has increased its October 2021 offering to provide for the issuance and sale of an additional senior secured notes and warrants.
The company will issue an additional $3,081,875 in principal amount of 20% original issue discount senior secured notes, resulting in gross proceeds of approximately $2.465M.

The notes will be due six months from the issuance date.

The company has also agreed to issue the investors five-year warrants to purchase up to 22,013,393 shares of the company’s common stock which warrants will be exercisable immediately at $0.2310 per share.

The private placement is expected to close on or about June 8, 2022.

Net proceeds will be used for working capital, general corporate purposes and marketing and advertising for the company’s new energy line.

******Hmmmmmm? Now whomever this "secret" preferred shareholder is can literally short up to 22m shares of MSLP risk free. Today's price is ~ the exercise price therefore every share shorted protects the "mystery" financier from further downside so any downward share price is "profit" but also has 22m "free" shares to cover any potential appreciation in stock price. Now you just need volume which the market maker has been desperately trying to stir interest up with these 200k share likely round trip churn trades recently.

[rudiger]

Shame i used plenty of their products for a couple of years and thought they were pretty good .

[Madcowelixir]

It was taken over by a trust fund baby born on third base who thinks he hit a triple.

[rudiger]

What the hell happened to this company ? If I remember correctly the had 4 different lines of supplements and barely one .

[Madcowelixir]

Window Dressing anyone?

99% of the shares "traded" (and I use that term loosely as I suspect most of the trades on this equity are just round trippers) were for less than "3 nickels" but right before the bell 1% of the volume spikes the price to a 17% gain when you compare the close only. The low today where most of the trades occurred could have generated nearly double today. Almost a 100% gain when compared to the posted closing price just minutes before the closing bell.

The MM is trying desperately to get retail attention on this equity.

[Madcowelixir]

Cursory and Remedial Math

Let's just look at the interest, salary and commission structure of MSLP.

Interest is 18% on basically every dime of capital in addition to the "placement points".

The shylock -20% Accounts Receivable face value sales discount that MSLP uses since they have no capital.

Ryan's Salary $1.6m.

Two Rockstar laid-offed former salesmen. $20,000 a Month salary and 17.5% of the gross profit every dollar sold on Energy drinks.

I'm not even going to waste my time to calculate the revenue necessary just to break even because MSLP is discounting the heck out the retail product (the below verified example is over 30% retail discount) just to move it so the gross margins are probably nil.



In addition the "bottler" quality leaves a lot to be desired based on verified reviews



Imagine the limited "select" Hawaii and SoCal Costco customer service necessary to handle the refunds on the bottling issues.

Trust fund babies. Every aspect of this business under Ryan is a fail, just like his personal history with activist investing....ie Quiksilver and BebeSport and his failed single movie producer career so aptly named.

https://www.imdb.com/name/nm3573940/

[Madcowelixir]

SLC.....you forget to add "yet".

Did you see the stock price today (?) and the fact all the assets (Brand Name) are now secured by "secret preferred bondholder(s)" getting 18% interest along with Ryan's salary of $1.6m and his convertible getting an additional 18%. What a coincidence.

Bradley Billet ( https://nypost.com/2016/09/14/trust-funder-wife-ripped-me-off-in-business-deal-agency-chief/ ) can probably make an educated guess as to the identity "secret bondholders".

The only delay in the BK is the fact Ryan screwed nearly every supplier to the tune of $40m and basically stole their product and sold the product and kept all the money. You can delay BK for quite a while when the cost of product is being reported as 95% but is actually $0 because you stole it and kept the proceeds of the sales. The decline in revenue and massive losses is now causing this entire Ponzi Scheme to fall apart despite the fact the "settlements" to suppliers still have not been paid.

You won't have to wait much longer.

Neither will "Ginger" the brand new "paid premium" monicker just born a couple weeks ago and yet follows exclusively this dog of an equity that was trading near zero volume for several weeks surrounding the birth of the monicker.

Hmmmm.... Can you think of any potential ginger suspects phishing desperately for replies from me (madcow Crickets??) and making accusations of possible defamation and stating how this is all personal despite the fact I posted hundreds of posts of due diligence on this board several years before Ryan even came into the picture be linked to this Insta?

https://www.instagram.com/drexphotos/?hl=en

[SLC-JD]

While some of Madcow's past statements may not have panned out (Drex never did BK the company and claim all of its assets...back when it actually had some), all of his more recent statements are reflected in public documents. Just because you can't find it doesn't mean it's not there.

[Ginger6763]

they are not facts they are personal attacks with some personal knowledge i can’t find

[codie]

Facts are not personal, they're facts.

[Ginger6763]

I knew it was personal. You know him.

[Ginger6763]

Definitely something personal. What did he do to you?

[Madcowelixir]

Perspective II the sequel

Ryan's annual salary is 25% of the total market cap of MusclePharm.

If Tim Cook used the same metric, he would be paid $600,000,000,000.00 a year or almost $2,000,000,000.00 a DAY.

Make sense to you?

It does to the recently hired MSLP compensation committee chair who just happens to be a long time party boy friend of Ryan.

[Madcowelixir]

Perspective:

One of the top 5 trading volume days in 12 months and only $56,000 worth of advertised shares traded. How many shares were churn and valueless?

[Madcowelixir]

If you look at the actually trades, they are all nice tidy round numbers. Since there is ZERO retail interest, manipulation is possible. Venus Flytrap.....get in easy; getting out not so. Illiquid investments with anonymous and highly suspicious "preferred bondholders" with callable shylock interest rates, two large institutional investors completely buried (Wynnefield and White Winston/Buck Wessell). NY Post articles describing how Ryan's former brother in law is accusing Ryan's sister of hiding million$ in martial funds by transferring them to Ryan. Ryan's personal real estate home goes tax delinquent and MSLP begins paying Ryan $7K rental home allowance. Ryan hires one of his best party friends to become compensation committee chair and gets a huge raise to over $1.6m annually in the face of -80% declines in revenue and massive losses. Stay tuned for the next drama. Maybe Ryan will fake cry like Amber Heard.

[Madcowelixir]

More shares have traded in just a couple hours today than the entire previous 30 days combined which included release of MSLP 2021 10K and 2022 Q1 and around 200,000 shares have traded down in price about -25%. This could reflect there is ZERO retail interest in this equity and some Institutional or Insider holders are liquidating since I have seen no new stock issuance and the options are currently priced underwater OR this could reflect some yet unreported MSLP transactions regarding the half dozen or so legal settlements they lost or are currently being pummeled by plaintiffs. Regardless this is terrible news especially as the very suspicious "preferred bondholders" are able to trigger payment for a plethora of reasons immediately.

[Ginger6763]

It’s more than being short he knows a lot of info. I am sticking to it’s something personal

[Madcowelixir]

I began under a different moniker on this site that was blocked and messages deleted for some reason so I began posting under madcow in 2017 but everyone at the time knew the transition both on IHUB and SA as I was a prolific poster of information including notifying all the readers 6 months before the exact amount of the $21.5m scam that was pulled on Capstone.

[Madcowelixir]

SLC

I started as a long here under Brad and Cory. I established a long position $6.xx and posted all my trades in real time with screen shots of my trades on Interactive Brokers. I posted in real time my sells beginning $12.88 and up to $14.00. I offered 5,000 share private trades on this board to anyone on the other side as my due diligence on this equity was sophisticated. I have received several private messages from Private Capital money managers and Hedge Funds offering to exchange research and information on Seeking Alpha as I post under Goldberg Stein and have several hundred messages on that site regarding MSLP. I went short and covered my entire position long ago beginning at $.75 and all the way down to pennies. All of this info was posted in real time with screen shots of my trades. BTW....none of my detractors ever took me up on my 5,000 private trade offers when the equity was trading for around $13.xx

[SLC-JD]

Read the history. Madcow has been short here for ages, and does his best to support his position.

[Ginger6763]

MADCOW crickets

[Ginger6763]

MadCow you still haven’t answered the question, is there something personal going on.

[Madcowelixir]

So if you like the numbers and think MSLP is a good investment, then buy shares. Since there has only been one single trade (for $600) in the entire week after earnings, you should be at the front of the line. FIVE CONSECUTIVE trading sessions (including today) and only ONE SINGLE $600 trade. Seven trading sessions (including today) and $700 total trade value. The MM is dropping the "ask" and the "bid" everyday and that looks like the opportunity of a lifetime for you being so bullish on this stock. Buy on the "ask" and sell on the "bid" and you only lose -40% if you find a bid at your volume. Why reply to my messages? My one and only reply to you. Good luck.

[Ginger6763]

Madcow i have been doing some research on the new filing. They have over 1.6 million dollars in beverage sales with out launching fitmiss. The alliance group is the real deal. I am wondering why you have so much hate. There must be something personal you’re not telling the group.

[SLC-JD]

Circling the drain...

[Ginger6763]

Defamation i could be wrong

[Madcowelixir]

MSLP gross margins are probable a negative number because they don't pay the supplier and just keep and report 100% of the revenue. Combat Crunch is the latest offering. Look at how many millions Ryan STOLE again yet revenues are reported like a legit business that MSLP is NOT. What's another $7m owed on revenue already received and reported and not paid for? YES.....Ryan STOLE another $7M in the Ponzi Scheme.

[Madcowelixir]

Ryan had to post a personal bond on a significant portion of the ThermoLife appeal. A couple weeks ago the AZ Supreme Court ruled for ThermoLife as final judgement. Now Ryan has to either pay the settlement via the bond company (default and the bond company going after him, very unlikely like a bail bondsman coming to your home) or MSLP has to pay in Q2. I love how AZ courts work. Not like those CA and UK courts (Man Footy) that let MSLP not pay bills and appeal for free.

That is $1.9m and the court affirmed ThermoLife's request for attorney's fees. Poor RyRy.

[Madcowelixir]

Why doesn't Ryan release who the preferred bond holders are ? They now control the bankruptcy. I wonder why the pieces are being moved into place.....