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If retails don't get in the way, we might take him out today then we jump back to the high .003s in a heartbeat.
T Trade Updates:
Since the last 12.2 ml O/s increase:
-3.4 ml t trade
-1.1 ml t trade
-2.2 ml t trade
-1.9 ml t trade
= 3.6 ml approx left.
Hi T2T2,
Do you know which one is the remaining note?
Thanks,
Win
The CEO has a brilliant plan. With $45k of cash on hand, he thinks he can acquire 18 labs in CA by handing out worthless preferred shares to the lab owners and the lab owners are really happy to give up their million dollar lab ownership in exchange for what so called "Preferred shares" from a sub-penny stock company in the Pinksheet.
Barring the asks moving down from .0079, we have a bunch of great painters holding brushes in their hands ready to paint at the close with grey and green colors just to make us feel better for tonight.
You are absolutely correct that I have been here longer than many of you and know how this company operates quite well. Your "testing revenue numbers have grown at least 10fold since June 30th" remains to be seen in the next 10-Q. But the numbers that have been increased and confirm in the financial reports are:
Authorized Shares: 750,000,000 ------> 3,000,000,000
Outstanding Shares: 527,000,000 (as of 6/1/16)-----> 792,000,000 (as of 9/21/16).
Operating expenses are ~3x greater than total revenues.
Loss from Operations are ~2x greater than total revenues.
Therefore, the cash flow is deep RED
18 months from now, the debt holders will eat this alive. Either A/S increase or R/S will happen. Then the Preferred holders will convert their A,B,C Prefer shares into Common shares and dump to the market.
All the pumpers talked about Oct 1st, but refused to talk about Sep 30.
During the nine months ended June 30, 2016, the Company borrowed $20,500 and paid $8,795 from Lori Glauser, our COO, for working capital. The total amount owed is $91,705 and $80,000 as of June 30, 2016 and September 30, 2015, respectively, and are included in the accompanying consolidated balance sheets as current portion of notes payable to related party. The loan is at 0% interest and is to be repaid by September 30, 2016.
During the nine months ended June 30, 2016, the Company borrowed $16,200 and paid $0 from Anthony Smith, our Chief Science Officer, for working capital. The total amount owed is $16,200 and $0 as of June 30, 2016 and September 30, 2015, respectively, and are included in the accompanying consolidated balance sheets as current portion of notes payable to related party. The loan is at 0% interest and is to be repaid by September 30, 2016.
Where does the company get the cash from? Toxic debt, of course.
I don't know what kind of consulting services the CEO has done to SGBY, but he paid himself really well while the company is strap for cash.
During the nine months ended June 30, 2016, $48,006 was paid to Newport Commercials Advisors (NCA) for management consulting services, a company which is owned 100% by William Waldrop, our CEO.
Hi Brizdb,
Here is the definition of Interest Expense:
What is an 'Interest Expense'
The cost incurred by an entity for borrowed funds. Interest expense is a non-operating expense shown on the income statement. It represents interest payable on any type of borrowings – bonds, loans, convertible debt or lines of credit. It is basically calculated as the interest rate times the outstanding principal amount of the debt. Interest expense on the income statement represents interest accrued during the period covered by the financial statements, and not the amount of interest actually paid over that period.
That's why I never follow the crowd. I always spend time reading the financial reports before I invest my money. Companies that have clean financial reports are low risk, high reward type of investment for me. SVTE is one of such companies.
SVTE is building higher base everyday. Once the bases are strong, the roof will get teared off.
So the company will have to continue to engage in toxic financing to stay afloat until they have at least 2 full quarter of financial reports for all of the lab acquisitions and hope to go to the traditional financing.
Everyone knows that each acquisition takes at least 6 months to a year to complete and the company plans to acquire 18 new labs in CA. We are looking at years from now before they can have at least 2 full quarter of financial reports to present them to the banks for loans.
Until then, the company continues to get cash from the toxic noteholders, the toxic noteholders will continue to make outrages profits while retail investors suffer.
From today on, I will rather donate my hard earned money to charity organizations than to feed these crooks.
Most if not all short term traders took profits last week. All we have to deal with this week is to take a few million shares left from the note holder then we will be on our way to penny land where this belongs.
Good morning fellow SVTE investors. This will be a hot commodity in the next few weeks and months.
Hi modes948,
I guess I don't understand your logic. If the shares are already worthless, why would the lenders buy notes from the company knowing their shares will have zero value one year from now when the notes are due to convert?
Put yourself in the lenders' shoes, would you invest your money into a worthless stock? Likewise, put yourself in the company's shoes, would you be able find the investors to sell your convertible notes to if your stock worth zero in value?
Unlike 99% of the companies in the OTC, STVE is no longer a start-up company needing toxic financing to fund their operations. SVTE is now rather a growth stage company with both profitable and cash flow positive. Therefore, the CEO will need to stop, if not already, this kind of toxic financing to attract new investors and bring the share price to its true valuation. We will find out in the next filing in due time.
How undervalued SVTE is, look below:
SVTE:
A/S = 500M
O/S = 197M
MC = ~$500K
Revenues Q3 = $941K
Revenues 9 Months = $2.6M
MC to Revenues ratio = 1:10.
SGBY:
A/S = 3 Billion
O/S = 780 Million
MC = ~$16 Million
Revenues Q3 = $117K
Revenues 9 Months = $392K
MC to Revenues ratio = 30:1.
Note: If SVTE were to trade 30x MC to Revenues ratio, the share price would be 80 cents per share.
The run will come. You just need to be patient. If you look back to my history posts, you can see that 2 months ago I was invested in SGBY at same level as SVTE is in right now. It had under 60 board members when I discovered it. It recently ran to .03. I took the profits from there and invested in SVTE because SVTE is already an established company multi million in revenues and cash flow positive and with minimal debt. The most important thing is that SVTE share structure is extremely low. If it wasn't for the note holders converted, we wouldn't have a chance to invest in SVTE at this low share price.
SVTE held strong today considering the early onslaught on the bids by both the profit takers and note holder. There were no bid whack at all for half of the day. This tells me shares are being transferred from the short term traders to the long term investors.
I think this guy had converted his $7,500 into 10M shares. It's no big deal. The CEO said he will not engage in this type of financing anymore in the future. He probably sold most of his 10M shares today already.
On May 12, 2016, the Company issued a convertible note to U.S. Affiliated, Inc. (a related party) for $7,500 of cash consideration. The note bears interest at 6%, matures on September 12, 2016, and is convertible into common stock at 50% of the average bid price of the stock during the 30 days prior to the conversion. The Company recorded a debt discount equal to $7,500 due to this conversion feature and amortized $1,159 during the three months ended May 31, 2016, with a remaining debt discount balance of $6,341 as of May 31, 2016. The note had accrued interest of $23 and $0 as of May 31, 2016 and August 31, 2015, respectively.
Company can't sell shares on the market, but Note holders do. They just added another 50M to the O/S. Note holders probably got those shares for .0016 per share. It's all in the 10-Q. Numbers don't lie.
10 reasons why SVTE should soon return to penny land where it belongs:
1) Excellent share structure.
2) A/S = 500 Million Shares.
3) O/S = 186 Million Shares.
4) Low Market Cap (only ~ $500,000) at .0027 share price.
5) Little to Zero debt convertibles.
6) 2016 revenue forecasts ~ $5,000,000.
7) Year over year revenue growth.
8) Cash flow almost positive.
9) Expansion via acquisitions to increase revenues.
10) Real company with real facility that employs tens of employees.
Level 2 is thinning out on the asks. Once the sellers dried up, it will move back up very quickly.
How undervalued SVTE is, look below:
SVTE:
A/S = 500M
O/S = 186M
MC = ~$500K
Revenues Q3 = $941K
Revenues 9 Months = $2.6M
MC to Revenues ratio = 1:10.
SGBY:
A/S = 3 Billion
O/S = 780 Million
MC = ~$16 Million
Revenues Q3 = $117K
Revenues 9 Months = $392K
MC to Revenues ratio = 30:1.
Note: If SVTE were to trade 30x MC to Revenues ratio, the share price would be 80 cents per share.
How undervalued SVTE is, look below:
SVTE:
A/S = 500M
O/S = 186M
MC = ~$500K
Revenues Q3 = $941K
Revenues 9 Months = $2.6M
MC to Revenues ratio = 1:10.
SGBY:
A/S = 3 Billion
O/S = 780 Million
MC = ~$16 Million
Revenues Q3 = $117K
Revenues 9 Months = $392K
MC to Revenues ratio = 30:1.
Note: If SVTE were to trade 30x MC to Revenues ratio, the share price would be 80 cents per share.
How undervalued SVTE is, look below:
SVTE:
A/S = 500M
O/S = 186M
MC = ~$500K
Revenues Q3 = $941K
Revenues 9 Months = $2.6M
MC to Revenues ratio = 1:10.
SGBY:
A/S = 3 Billion
O/S = 780 Million
MC = ~$16 Million
Revenues Q3 = $117K
Revenues 9 Months = $392K
MC to Revenues ratio = 30:1.
Note: If SVTE were to trade 30x MC to Revenues ratio, the share price would be 80 cents per share.
We have been followed by big players. They're waiting for the profit takers to get out before running this up.
Be patient folks. We are building higher low everyday. Remember not many days ago, .002 was the base. Today it seems like .003 is the new base. I'm a long term investor and I love to see we build higher base every couple of days.
Let the short term traders take their profits on the bid. As soon as they let go of their shares, SVTE springs right back up. Make them pay higher to get back in.
Great post Art35. If your target is 5M shares, between you and me, we will have over 5% of the Float locked up. All we need is another 34 investors holding 5M each then the Float will completely be locked up.
There are so many P & D companies here in the pinks. It is very difficult to find a real company with real assets, revenues, cash flow positive, low share structure, and minimal convertible notes.
How the Float can be locked up:
This will show how the Float can be locked up easily.
Current Float = 180M
180M / 5M = 36 (We only need 36 investors holding 5M shares each).
180M / 3M = 60 (We only need 60 investors holding 3M shares each).
180M / 2M = 90 (We only need 90 investors holding 2M shares each).
180M / 1M = 180 (We only need 180 investors holding 1M shares each).
The SVTE board currently has 193 members. If each member only holds 1M shares, the Float is already locked.
Could someone sticky this post please?
Let's put things in perspectives:
SVTE:
A/S = 500M
O/S = 186M
MC = ~$700K
Revenues Q3 = $941K
Revenues 9 Months = $2.6M
MC to Revenues ratio = 1/8.
SGBY:
A/S = 3 Billion
O/S = 780 Million
MC = ~$16 Million
Revenues Q3 = $117K
Revenues 9 Months = $392K
MC to Revenues ratio = 30x.
If SVTE were to trade 30x MC to Revenues ratio, the share price would be 80 cents per share.
The Noteholders don't care about the price. Whatever the price it is currently, they will get 70% discount of the 3 lowest closing bid in the previous 20 trading days. For example, the 3 lowest closing bids were .0051, .0055, .0058. The average is .0055. They got 70% off of .0055 and that's .0016. So the converted at .0016 and sold at .02. That's outrages amount of profits.
The conversion price (the "Conversion Price") for each Conversion (as defined below) shall be equal to the product of 70% (the "Conversion Factor") multiplied by the average of the three (3) lowest Closing Bid Prices in the twenty (20) Trading Days immediately preceding the applicable Conversion.
Debt – Issued in fiscal year 2016
During the nine months ended June 30, 2016, the Company issued a total of $250,800 notes with the following terms:
·
Terms 12 months
·
Annual interest rates ranging from 8% to 10%
·
Convertible at the option of the holders either at issuance or 6 months from issuance.
·
Conversion prices are typically based on the discounted (50% - 72% discount) lowest trading prices of the Company’s shares during various periods prior to conversion.
Certain notes allow the Company to redeem the notes at rates ranging from 100% to 150% depending on the redemption date provided that no redemption is allowed after the 180 th day. Likewise, certain notes include original issue discounts totaling to $12,800.
The Company determined that the conversion feature met the definition of a liability in accordance with ASC Topic No. 815 - 40, Derivatives and Hedging - Contracts in Entity's Own Stock and therefore bifurcated the embedded conversion option once the note becomes convertible and accounted for it as a derivative liability. The fair value of the conversion feature was recorded as a debt discount and amortized to interest expense over the term of the note.
The Company valued the conversion feature using the Black Scholes valuation model. The fair value of the derivative liability for all the notes that became convertible during the nine months ended June 30, 2016 amounted to $376,710. $235,019 of the value assigned to the derivative liability was recognized as a debt discount to the notes while the balance of $170,637 was recognized as a “day 1” derivative loss. The following notes were convertible during the nine months ended June 30, 2016:
· Adar Bays, LLC
· Tangiers Global, LLC 1
· Tangiers Global, LLC 2
· Tangiers Global, LLC 3
NOTE 11 – SUBSEQUENT EVENTS
Subsequent to June 30, 2016, the Company issued 177,507,121 shares of common stock for conversion of convertible notes with principal and accrued interest of $34,736.
It took 180M shares to pay for $35K. That's why I said earlier the only people making money in the future are the note holders at the investors' expense.
Looks like the CEO is reading the IHUB Board.
Shares are being acquired slowly and methodically.
Real company with real revenues like SVTE doesn't need news to pump. It will move up organically once investors realize that it's currently trading at 1/10 of Market Cap to Revenues ratio.