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Just managing expectations, Karlacorn. History has shown repeatedly that the company is not in control and issues can rise out of nowhere causing more delays.
You have previously criticized the company for not delivering results on time and I am telling you nothing is certain until the money is paid and in your account.
I told you, more problems could surface.
They are not necessarily in order of launch date. CART is green as you can see, which means it has already been launched. Yellow will be launched soon and red is planned for later.
As for RISO, the way I understand it, there will be two series of these. The 76M of the first series that have been issued act as shares of the company and all profits from the rice vertical will be divided by these 76M tokens asif they were shares. There will be another serie of RISO issued to the public with a different valuation and those will will be backed by physical rice and traded by the company. How to separate the two I don't know yet. But they will both trade publicly.
If I give updates then Laxmi doesn't have to, and vice versa. He is just extremely busy.
And yes, plans change all the time.
But I didn't give you a fixed date. I said we are looking at the 9th or 10th of April. Which means it isn't final. I also said, more issues can always surface.
I never said the 8th. One more time. I said we are looking at the 9th or 10th of April.
Problems can always surface again. I'm kind of getting used to it. But you are right, $50M is available in Hong Kong out of a total of some $104M, the remainder being wired to the US.
Initially the expense was supposed to be 100M x $0.25 = $25M. But the expense for one quarter will only be close to $8M because we have only 76M tokens outstanding instead of 100M and some of the bigger shareholders don't want to get paid in cash. So these two planned dividends will hardly make a dent in our budget going forward.
Nobody ever said April 7 or 8. I said we are looking at April 9 or 10. You are deliberately confusing matters.
I don't know if they are all rich, but they are non-resident Indians living in the US. A bit above 41k now due to natural growth on gold.
But the focus has changed. We are now doing Regulation S offerings which is for non-US investors. And we get major support from several European banks on this. I can't talk much about it. But this will make it a lot easier to fund certain projects/verticals.
We were always going to expand beyond the SDIRA accounts. But it has happened a lot sooner than originally planned.
Yes
Yes, of course. But I am not mentioning any dates 😄
You already own the tokens. They are just not in your wallet yet.
Yes, we don't need that money now. Also, the value of the tokens is much higher now than last year.
Originally, we were supposed to get funding from a big investor last year which would have taken care of the december dividend. That money was transferred but put on hold and investigated. So then we initiated plan B which is comprised of 2 asset sales in India. This has taken its time most of which we don't control. Even the wire now into the US is being delayed by tax documents that need to be filed.
Yes, we should have used targets instead of suggesting fixed dates.
At least the 2nd dividend is planned for April 17 so we will catch up on lost time.
We are close to 76M RISO tokens issued and we should be done. Some more will be sold to ITUP at a later stage.
Laxmi has been working on a number of real estate deals, taking this vertical forward.
We are adding a 6th project in Nigeria which will be for cocoa plantations.
For the Aqua team and 200,000 ton RAS project we now have 5 consultancy contracts signed and the team is performing preliminary work.
That is all I have.
Apparently Laxmi isn't updating so I will do the best I can.
Laxmi had to stay in California due to some tax documents that had to be filed earlier this week with regard to the $2.59M (+$50M) that is being wired into the US. The 2nd reason why he won't be traveling to Hong Kong until this weekend is due to the holidays when banks are closed.
So, we are now looking at banking being set up in HK between April 2-9 and the first dividend to be paid on april 9 or 10. And the second dividend by April 17.
My memory is not so good either. But I investigated all of these in the past. I think TS doesn't offer HERB now. Schwab is the only one I can use. And $25,000 won't be a problem once I get paid. I am planning to buy a lot more than that.
Million, Snow 😄
Already asked Laxmi to give an update. He said he will do it soon, after they file the tax document that will free up the $2.59 being transferred into the US account.
Thanks to Traderfan for the tip.
Schwab International now allows customers from The Netherlands, Austria, Sweden, Finland amongst others.
Which means we can buy and trade HERB now.
https://pressroom.aboutschwab.com/press-releases/press-release/2023/Schwab-Stock-Plan-Services-Expands-International-Capabilities-Offers-Fully-Featured-Accounts-to-18-Additional-Countries/default.aspx
Get real, Karlacorn. There was no reason for Laxmi to travel to Hong Kong sooner because the money wasn't available until recently. It was a lenghty process, from asset sale, to getting it approved and transferred out of the country. It is a bureaucratic nightmare, most of which we cannot control. But the money (most of it) is in Hong Kong now coming out of Escrow soon.
He has to set up banking (authorize certain individuals) in Hong Kong. Simple as that.
It's easy to criticize the company. But all startup companies struggle big time. There are no exceptions. However, you won't find a single one that sold off assets, repatriated the money, and paid dividends from it. Like we are doing.
In his latest update, Laxmi has informed us that he has to stay in California for a couple of days to take care of some things.
He is flying to Hong Kong on friday to set up banking there.
The dividend payout is now planned for March 28/29, out of Hong Kong.
Yes. Planning to pay it out of Hong Kong as that is where currently most of the money is, in Escrow, for doubling and dollar matching. There is 0% withholding tax in Hong Kong.
You haven't missed his response, K. Because there wasn't any.
True.
We have calculated it several ways now. I already told you I have seen numbers of $78 per token (for 12 cycles) and $240 for 15 cycles per year.
We calculated it ourselves and determined $117 may be fair value. Which is in line with the other estimates.
This is all subject to certain conditions of course.
And there is always a degree of uncertainty.
We also said they will probably be valued at $10. Today. Or close to that.
I think you can see why.
Let's leave it at that.
Snow, the 40% margin that I mentioned is on the trade. ie buy/sell. As it will dictate the growth rate when resinvesting the profits.
The 10,000 tons rice is the target for 1 cycle. It's only a $10M investment.
Laxmi believes we will have to reduce inventory after the 3rd year. Because we will grow too fast.
Most of the profits will be reinvested. Also, margins are much higher than your 10%. As high as 40%. Also, we are targeting 10,000 tons of rice for the first year. This is a world of a difference compared with your numbers.
I have seen some numbers.
If we reinvest the profit after every cycle then you get exponential growth.
If we start with 1,000 tons of rice then the RISO tokens will be worth $78 after 5 years when doing 12 cycles per year.
If we cycle it 15 times per year then the tokens will be worth $240
So you can see how fast it goes up when the cycle rate increases.
We have the same principle and result for SWIM Gold.
So, there are many factors to consider.
How much can we start with?
How many cycles do we get per year?
How much physical supply do we have?
Can we maintain margins?
And all these things will determine the result and token value.
Let's leave it there.
Almost done. We will be close to 60M RISO 👍️
Yes, we will have good growth on the volume side and profits per share. Probably more than you think.
We already have a supplier and 30% margin. So 20% longer term is conservative already.
We are getting ahead of ourselves. I will get some numbers from Laxmi today. Perhaps we will share some later.
Yes, Snow. Usually we get 10% sweat equity (could even be 20%) plus 2% management fee per year plus 1/3rd of profits above 8%.