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Likely delay in any activity...
Co is in direct path of hurricance Milton 🙏🏼
i follow that right now credibility is everything.
If investors believed in the past Q #'s then the likely value would be 3-4x higher now.
Note when Q was released NO discussion of earnings detail, what was sold, growth plans for whatever it was/is, margins, former guidance just forgotten and unaddressed...
The co doesnt feel it has to reconcile and be accountible to its own releases
Until this basic integrity and credibility is earned scepticism will attach to any 'news'.
splitting hairs... they used the terms days and weeks...
If biz days then to this friday, but of co is trying to establish credibility a time to be clear and exceed expectations.
The bigger issue is LOI vs completing reverse merger.... a BIG difference
If they come out w an LOI this week it will be a big nothing... since it could fall apart.
The track record of over promise, deception (Surge faux transaction), dilution, unclear mgt requires the co to set a new ( usually normal) standard for governance.
well my first concern is the company puts out releases with very different stages of opportunity. (loi vs closing a deal).
And yes of course in a Loi all diligence will be expected and outcome uncertain.
And whichever option is the real, they are overdue , and a responsible co would put out an update.
But note discrepency-
on Aug 12 the co stated it 'anticipates completing the reverse merger within the next 30-45 days'
overdue....by a week +
on Sept 10 the co states ...' it expects to have a LOI signed within next few weeks'...
overdue AND materially different from 'completing' a merger as noted in first release.
As most likely know signing a LOI is not meaningful as it suggests a possible long vetting period and possible no success... an exploration for potential actual deal.
If the co ever wants to be taken seriously and establish credibility it needs to read and honor its own releases.
Awaiting the follow to last release. Still within time frame.
i was responding directly to a post.
I have posted i am long KG inc and why along with cautions multiple times
and if you go THEIR website ... no update, no news ...
But what do you want for 200k in sub penny stock
that may , in fact, be true
Be nice for them to at least update if not confirmed.
not a clue.
And even the website 'clues' are uncertain given history.
But those changes happened over last 10 days or so could indicate new mgt and direction
Right now the co trades for under 2 mm cap.So any progress should see some $ movement.
But if RC lurks, or as some suspect, a shell game then remains risky.
The changes on website give a clue.
There is new mgt listed as CEO etc from Covert.
Alsoa an updated live link to a Highdrate holding page.
The Hemp line is gone. So might infer that the 'sale' was just the Hemp line.
Judging from website Bemax is a bizarre shell with one foreign CEO (issue directed at if even a real US co), and no evidence it aquired the Kona Gold after 2 mo.
The last Q showed revs/earnings that while not stated are likely all or most from Covert.
There has been significant dilution this year.
And years past the co proposed a crypto sideline. But not aligned in any way to core biz so discontinued.
Best to stick with their knitting.
Clark is not leading the co anymore.
Revs are reportedly related to Covert, not the bevs.
So... standing by all previous critiques, the opportunity appears possible.
At 4.5 bil os, if the 'new?' team brings in a synergistic co, and if last Q revs attach to the Kg Inc, not LLC, then it COULD be easy to see a cap value of 10-12 mm.
Thats a 4x from current.
Just sayin...
Lotto on!
covert
IF…
The last Q represented earnings primarily from Covert
The NuVibe name effort follows KG Inc (not LLC)
The newly posted mgt on Kona web site is the NEW mgt (not the departing mgt)
Highdrate is being renewed by KG Inc (new active link on website)
New reverse co aligns with Higdrate / Covert
Debt is actually reduced
New insiders / principals $$ are on board
THEN…
This represents a great opportunity.
But this is NOT clear from releases, as it is not clear what product lines attends LLC and INC, and which mgt leaves or stays.
It is also not clear given the last round of dilution and the daily rounds of hundreds of millions offered at .0004/5…which suggests a company valued under 2mm.
There should be something the NEW (if) mgt can share to clarify what was sold, and what remains.
that is ONE way to read it, and if so real potential from here.
But not clear and given past really do need them to communicate directly and clearly.
And need to see the shares stop pouring out ...
The website update is interesting.
It includes links to Covert, as well as new link to Highdrate with a 'coming soon' tease home page.
It also includes new mgt listed.
I hope the co clarifies what was sold in KG LLC ... Just the Kona Hemp line?
What co owns the NuVibe name. Does it follow the LLC or Inc?
Is this new mgt THE new mgt, or is this team leaving when reversal is complete?
The wording in past release is not clear.
If this is new team, and covert/highdrate + new co is future then way undervalued.
It can if Covert is rev driver.
the exposure is to the mgt managing this process who selected Bemax as the BEST option to sell the LLC to.
Exposure - same mgt applying same judgement to the reverse target.
That doesnt need diligence. Just facts evident to all.
you are correct imho
The sale hopefully also bundled some debt, but that is hope.
If the LLC was generating no revs and potential limited then the $ likely comes from Covert.
I have communicated with Brandon White, who is listed as President and i had a positive sense of commitnent, ethics and desire to move forward. The last time was early summer.
So perhaps some debt holders and insiders , not from RC, have pushed this to create value then maybe positive,
With 4 bil in OS, if a co has revs, serious mgt, and potential it might find spec value of 12mm or .003.
As a first step would be welcome.
Does applause for mgt include the new dilution of OS to 4.3 billion in last report from March 2.6 billion?
? Already disclosed i am long... but have obvious questions... this is a lotto ticket right now..
There has been huge support at this level... lot of selling, but someone(s) is also buying
not looking good... lol
but some major activity
close at .0007-8
they were pink 4-5 weeks ago, the 'warning' has just been due to delay... not somethimg new
well then i want to sell you a 'new' stock with no idea what it is, managed by a team that has a terrible track record... and the only criteria is "its new!"
well you are excited about a blank company.
And you are trusting current mgt ( not sure who) but not taking into account the company's recent history.
The value of kona LLC sold for 200k of restricted shares to a bizarre co should be a concern to all investors.
This goes to last Q report. Did Kona LLC contribute to the revs and profit?. If the LLC is making money - why the low price?
Simply need transparency.
Did Covert generate the revs? What %?.
Important since this goes to value transferring to new reverse co.
Mgt? who negotiated deal. And all leave co? Even the Covert team?
It would be easy for KG to be more transparent, and if rational reasons and deals all to shareholdera benefit would actually help support value.
So yes, could all be great, but also not. Ill be happy if so.
But this team has not delivered anything in '24 except dilutuion and deals falling apart, mistatements, and missed targets.
We shall see! But scepticism IS warranted.
Actually that is not bad or the issue.
The issue is what entity delivered the revs.
If any part is from the sold Kona Bev LLC then the low sale price of $200 k of shares in a bizarre co is even more questionable.
Is the low figure to previous forecast including a result of the Surge deal not happening? Surge from Gold Leaf owned by LBEV with primary holder R Clark.
If the revs from Covert , will this follow to new co?
They need to provide clarity or now way to assess.
one issue is the statement in earlier release about all current mgt leaving.
Any new mgt will need to speak to issues prior to reverse such as Kona LLC sale amount among others.
interesting
open questions
- what % of reported revs are from Kona llc ( just sold for 200k)? Of course if a meaningful % then how to justify low sale price?
-Is NuVibe to be the name of new co from KG inc? So the reverse co is in same biz and does not have its own name ( or opts to lose it?)
not this float... has been additional substantial dilution this year... post march
lol
.10 = 400,000,000 cap !
no way!
.01 = 40 mil.
not w/o substantial revs and income.
more likely
.003 = 12 mm ish if the reverse co has potential
? shareholders!!
Follow the transaction of Gold Leaf to Surge to Kg Inc to oops no Surge transaction ( with note review to Loud Beverage)
note is that Gold Leaf was the lead rev generator for KG inc in 2023.... and nothing for shareholders
Look at Kona bev LLC sale to Bemax for 200k? Brand, assets, inventory? All the bev side of co and reinventing as Nuvibe at Bemax? Likely will see RC and some current mgt go there as well.
Who is representing the interests os shareholders to obtain max value?
FYI i called the co to ask who is managing the process, who are the active mgrs for Kg Inc and Kg llc... and will the mgrs who negotiated this sale have an interest in the LLC.
The opportunity for self dealing is obvious.
No response
that is one possibility.
Clearly per filing today RC still has a hand. And clearly the 'sale' of Kona LLC for 200k to a bizarre co, is not an example of fiduciary duty.
He also manages a consulting co that houses offices of... you guessed it... Kona inc, Kona LLC, Covert and Surge.
The curious part is the CEO/CFO of Kg inc, from Covert are new since march.
So perhaps they become active new mgrs.
But they also released all mgt leaving to (?), does that mean new mgt from covert as well?
Who is managing this reverse merger in whose behalf? Unknown.
1 billion dilution in one year.
Byzantine share and debt awards
Note - Gold Leaf 'discontinued' in fall 2023 even though it was the lead rev generator for KG inc.
Then same co pops up as Surge in Jan 2024.
Shareholders got nothing.
Now KG llc has been 'sold' for 200k.
Note -this is less then the just reported inventory value not to speak of brand value etc.
Shareholders get virtually nothing.
One positive clarification - It appears KG inc still owns Covert.
it does feel like a new pump team is assembling.
No discussion of any facts surrounding and leading up to the reverse merge, the seeming theft (of value) 'selling' kona gold bevs for only 200 k, or that the same mgt that destroyed value while diluting and was unable to produce any viable business, is the same team that manages this transition.
No discussion of Covert... the supposed remaining asset.
So the only 'value' is a blind potential of another co and team. And given current mgt states they all jump ship not a terrific endorsement.
This new co may not be a rev generating co, or fast growing etc. given they 'sold' kg llc to a suspect unrelated diaper co.
Even if just for trades the recent posts about how far it can run do not reflect the huge dilution that has happened since the last moves. The big runs in past were based on a real product in a period of hemp craze. Mgt was clear. Now no one knows who manages this and no product.
i did buy at various under .001, but as lotto ticket...
If this moves to .0015+ before news it MIGHT suggest a real company coming.
As it stands trading between .0007 to .0015 may simply reflect day traders.