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You're welcome for updating the ibox for over 3 months with this, funny it's still all my work up there. You ungrateful dreamer, it's okay though you make me laugh.
Indeed, their only way out is outside financing, which will be almost impossible to get without assets/cash, and their current WC is 0.07, no bank/private investor is that ballsy.
What's the OS? Oh yeah, that's right, they gagged the TA and the only way to get it is if you subpoena in court.
You talk about facts okay let's talk about facts.
1. TBEV has death spiral financing to Centaurian at a 50% fixed stock purchase discount rate and Centaurian can convert whenever they want.
2. TBEV has no assets, no cash, who would finance a company like this? Oh that's right, no one (still wondering why they have toxic debt?).
3. TBEV has gagged the TA, no one know's the amount of OS.
4. Assuming TBEV sold out of their entire (500 cases is what I've seen being the total amount available to amazon) their revenues would have been 60,000 bottles, 12 per case, 5000 cases multiplied by 35$ = 175,000 dollars. That's revenues, not adjusted for cost of operation and sales.
5. TBEV working capital ratio is 0.0746304821. This is beyond terrible.
Dreamers are funny, they marry a stock. You are correct, I see a RS in the future, no private lender would give out money to a company without cash or assets. No news of a second run will only temporarily delay the inevitable just like Dethrone TBEV will RS. McBride said it in the interview no stores in 2015.
Expecting 10k, if sales are up WDHR still needs to charge more than 4.20$ per posting get seriously competitive and charge a flat 25.
Death spiral investing, how it works.
Death spiral investors make more money the lower the price goes, not higher, this is because they already have a fixed rate, Centaurian has a fixed rate of 50% (this is ludicrously high, most toxic debt is about 8%). The lower the price goes the more shares TBEV will owe to Centaurian, the more shares Centaurian has the more they can sell and recover at that fixed 50% rate.
This is all out there on the web if you didn't know folks.
Stop being dreamers and find out the truth.
Out at 14s, good luck gentlemen, conversions inevitable.
What's your source. Private investor?
That and they gagged the TA.
Not worth the key strokes.
It means Centaurian will make that call, and I think the only thing from stopping them converting soon is if TBEV shows the PPS is about to increase, meaning Centaurian will hold a bit long to the notes to convert at an even high price, meaning more money for them. They are basically traders now with a huge handicap, they can trade whenever they want and still gain 50% of whatever the PPS is. They don't care when, as an investor you should be awake to this death spiral. The only thing that can save TBEV from the inevitable death spiral is non-toxic lending, which has yet to been seen, and their chances are not good at all of achieving it (they've been trying for 3 years).
TBEV will most likely PR a second production run shortly, that might lift PPS momentarily, but it's just a bandaid to a much larger financial problem.
Right on, thanks for the reply.
I think you misinterpreted my comment.
Right now (with the latest PR) and I suggest you read my latest posts here, the only way TBEV can get out of the inevitable death spiral is if they get a loan from a financier that does not involve promissory notes. This has yet to be seen.
The problem with them getting a loan is this.
1. They have no money, or not enough to get a substantial loan amount.
2. They currently have no assets, they don't even have a company vehicle, office or anything else. They sub out to SEB.
3. Their credit history is horrible, toxic lenders biting at the heels with huge conversion rates (50% is ridiculous).
Any hopes of outside private investors?
Probably not. Remember when you talk about private outside investors with large cash flows they aren't just looking at product potential they are looking to invest into the CEO of the company, and I'm not sure McBride gives off that appeal with his tight chained neckless, overweight belly and slang talk (perhaps there are some investors out there that like that sort of thing, if they do they are a minority).
dingdongrb, you are correct sir. The only thing that would get them out from Centaurian is some non-toxic lending, which remains to be seen. Until then Centaurian can convert at whatever price they want and gain 50% conversation rate off the backs of the investors. I'd be surprised if Centaurian didn't convert fast, they have everything to gain and nothing to lose, except time and time is important when you're a toxic lender.
Did you all miss the paragraph before the last one?
"The Note is convertible into shares of the Company’s common stock, par value $0.001 per share (“Common Stock”), at any time at Centaurian’s option. It is convertible at a price per share equal to fifty percent (50%) of the lowest closing bid price or closing sale price for a share of Common Stock during the ten (10) consecutive trading days immediately preceding the date of conversion (the “Conversion Price”), to be adjusted for any stock splits, stock dividends, stock combinations, re-classifications or other similar corporate actions."
This means Centaurian has the right to convert at any time prior to December if they would like to.
"The Note shall mature on the earlier of (i) December 3, 2015, (ii) the consummation of a Major Transaction (as defined in the Note) or (iii) an Event of Default (as defined in the Note) (the “Maturity Date”). The Note shall bear interest at a rate of ten percent (10%) per annum (the “Interest Rate”), but the Interest Rate shall be increased to twenty-two percent per annum (22%) immediately upon the occurrence of and for the duration of an Event of Default (the “Default Interest Rate”). In the event the Event of Default is cured, the Default Interest Rate will no longer be effective and the Interest Rate will apply. Prior to the Maturity Date, the Company may prepay, without penalty, all or any portion of the Note and interest thereon upon not less than ten (10) days’ written notice to Centaurian."
The maturity date does not mean they don't owe any money on the principle and interest until December, it means they have until December to pay it off (some of you have said this, others not). The interest rate is 10% now until December 3rd. After December 3rd if the note is not paid in full the interest rate will be 22%...this is up to Centaurian, if they feel they can convert for enough gains they will simple not require additional 22% trickle money.
TBEV has set aside 500million shares in case Centaurian converts (and WHENEVER they feel like it at a 50% conversion rate).
As of right now, no one is going to make money except Centaurian.
Everything the "bashers" have said about dilution is correct. They are diluting to somewhat protect the PPS from the conversions that are happen as we speak.
50% conversation rate? Talk about zero negotiation skills.
And why wouldn't they? 2.5 AS increase and gagging the TA. Pretty obvious captain obvious.
I think they it to protect themselves to buy more time to pay the debt. The part I don't like is it's debt is from AnythingIT, honestly it should cost 600k to run an online company.
Share reduction, debt payoff, increased sales from previous year and buyout would all change things in a hurry.
Buyout news would be huge as well.
No, I'm assuming hypotheticals here, even if they reduced 900 million it's a long way away but still better than where it is.
900 million from 2.5 billion leaves it at 4.1billion. Better than 5billion but...
Death Spiral
That's silly. If the slander results in provable losses then yes, but if every company went out of their way to prosecute someone that slandered their business no one would have time to run a business.
All I want to see is continued growth. I would also like to see how their AnythingIT company is doing, and if it has debt they are trying to clear with WDHR. I see they have an office building with the WDHR logo on the sign, which is pretty cool, I personally wouldn't expect this from a pink sheet, let alone a website that could realistically be run from a bedroom (which in some cases would be good, as it would cut down on the overhead expenses quite a bit). BUT, their clientele probably would like to have it be more professional with a front door and somewhere to meet if things ever need to go there.
Looking forward to the next news we see.
Assumptions based off financials are better than your assumptions based on nothing.
When THCZ pumped they put out 1-2 a week during the entire pump.
I will be calling IR tomorrow, if Joe refuses to give me the O/S I will file a subpoena to get it.
Once they gag the TA it's downhill from here. They want to keep that information private (although they can't because we are owners) because they don't want investors to know they are increasing the OS.
Not by itself, the sentiment is bearish. It's very hard getting up from rock bottom and people don't buy the hype.
Toby took the market share of Sobe up to double it's value in a small amount of time for a company. He's not selfish.
Indeed, the only other option is splitting restricted shares, but that doesn't happen over night which is why dilution happens. Stream lines at the expense of the investor. Investors carry a large burden we are the bottom of the totem pole.
Yes, but then he'd have to dilute the market again.
Not expecting anything until next by year is a good strategic move. Calling out the CD as it is riding it up through the process. We are all at different places in life, but are all in the same investment together. I've flipped this a few times and now I will sit back and enjoy the next few years watching this grow. There will always be growing pains, after that it's the moon.
Just called the transfer agent for TBEV, they can't give out the information to anyone unless it's from TBEV.
Waiting for news, we will be trading sideways until we have news.
It's showing 21-22 on my broker listing.
News on sellout, funding, new production and new flavors imminent.
That and if you listen to McBride during his interview. He says they are done with toxic lenders but doesn't paint a huge up until Q1 2016, wonder why that is?
There's no evidence of new shares other than the 2.5 billion they already released. McBride said in the interview no new notes, they had to do what they had to do. But, they still have debt and that debt is being addressed now by these convertible notes. McBride has a big outlook for TBEV but not until next year.