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I stand corrected. However, it looks like this case is based on the Plaintiff being a sore loser. Frivolous perhaps?
I see zero lawsuits that specifically relate to the L-1011 transaction. The court case you are referring to is Greensill Capital (UK) Limited v. Tempus Intermediate Holdings, LLC. This has nothing to do with TMPS and more to do with the previous business dealings of Jack Gulbin and Scott Terry before they parted ways and separated the companies. What I'm assuming is that Greensill Capital is trying to claim that they have a blanket lien on anything Tempus related. I'm also assuming that Greensill Capital filed a UCC against the L-1011s when they didn't have the right to do so.
You've outsmarted us all. Brilliant, just brilliant.
I'm more than happy to send you any emails I have from Scott Terry if you message me your email address. Although this is a very speculative stock, I'll never post something that's FAKE. I believe the risk vs reward for TMPS is just about as good as it gets, and although there are hurdles to overcome, the fundamentals will eventually drive this stock in my humble opinion.
Scott Terry responded to my questions below:
Question: ME Aviation Services (Johan Claasen) is listed as the Seller of the L-1011s and will be issued approximately 6,730,769 common shares at a value of $0.52 per share. When do you expect this transaction to close and will there be any synergies between TMPS and Johan Claasen or the Claasen Group?
Answer: The transaction is currently held up due to liens that were discovered during the title search. The liens are the same attachments that were previously cleared by the FAA but were not cleared by the International Registry for Aircraft which is based in Ireland. The Irish authorities are supposed to meet on 11 December to determine whether or not the liens can be released without further legal process. Mr. Claasen will be a tremendous resource for TMPS has he is a well respected professional in our field with extensive relationships internationally.
Question: Obviously SANTIAGO BUSINESS CO. INTERNATIONAL LTD converting shares come April 2018 in the event the note is not paid or refinanced would be very detrimental/dilutive. What is being done to remedy this situation? In your opinion, will Johan Eliasch work with you to refinance the note or is the plan to use the EQUITY FINANCING AGREEMENT WITH GHS FINANCING, LLC?
Answer: Mr. Eliasch has a vested, long term interest in the company.
Question: The lack of working capital is a concern and the potential to mitigate that with equity is a concern as well due to dilution, can you provide any color or comfort to how 2018 may pan out?
Answer: Selling equity to raise working capital is not ideal. Any equity raise will be done with the proceeds allocated to specific program or contract in order to enhance the profitability on an existing program or to enhance our opportunity to win the contract.
Question: The announcement of new contracts has been quite stagnant, can you provide any visibility or potential backlog for 2018?
Answer: We are constantly bidding on government contracts in the USA and internationally. Unfortunately the sales cycle for these contracts is quite long and tedious. Again, we are concentrating on the L-1011 air to air refueling market as well as additional special mission aircraft operations in the USA and Europe.
Questions I have for Scott Terry for the people that are in contact with him:
ME Aviation Services (Johan Claasen) is listed as the Seller of the L-1011s and will be issued approximately 6,730,769 common shares at a value of $0.52 per share. When do you expect this transaction to close and will there be any synergies between TMPS and Johan Claasen or the Claasen Group?
Obviously SANTIAGO BUSINESS CO. INTENATIONAL LTD converting shares come April 2018 in the event the note is not paid or refinanced would be very detrimental/dilutive. What is being done to remedy this situation? In your opinion, will Johan Eliasch work with you to refinance the note or is the plan to use the EQUITY FINANCING AGREEMENT WITH GHS FINANCING, LLC?
The Company terminated a material contract on November 22, 2017, what potential contracts are in the works to replace the shortfall?
How confident are you that the L-1011 initiative will payoff and how quickly can you ramp up? Are you already in talks with customers that may utilize the L-1011s?
The announcement of new contracts has been quite stagnant, can you provide any visibility or potential backlog for 2018?
Finally, the lack of working capital is a concern and the potential to mitigate that with equity is a concern as well due to dilution. Can you provide any color or comfort to how 2018 may pan out?
From Scott Terry:
"Because it has been in modification to install a unique piece of air force equipment. It will be flying the USAF mission upon completion. This contract pays for the aircraft while it is in modification and when it flies the actual mission. 6 months of mods for a week long test mission."
But to spend the time and effort, extend manpower, pay attorneys fees just for equity and no cash? For me this is very intriguing to say the least. Johan Claasen & Johan Eliasch will both have equity in TMPS now, and I think that's pretty incredible for a penny stock trading at $0.20. Also, Johan Claasen is listed as the Seller, he's not just brokering the transaction.
Johan Claasen (L-1011s Seller) and soon to be equity holder in TMPS.
Johan Claasen + Johan ELiasch.
What's Next:
Mr. Claasen sees another opportunity to leverage those same relationships with the help of the outstanding executive team he helped to assemble at Volarge, aimed at taking advantage of certain capital and operating dislocations in select emerging countries aircraft leasing markets. Volarge’s mission is not just to be another aircraft lessor but a “strategic lessor,” engaged in meeting the critical corporate and national strategic priorities of customers.
Mr. Claasen's expectation is to once again build an outstanding organization and achieve an excellent return for my investment partners, lenders, and management team. Mr. Claasen has extensive networks in the target markets and the initial business pipeline exceeding $1.1billion. Volarge’s capital structure will be successfully funded to accommodate our growth over the next ten years.
Mr. Claasen has developed a unique and innovative funding structure that not only funds the company growth, but contributes significantly to the economic development in the target country.
This shouldn't be taken lightly. Great find! Interesting, very interesting.
Seller:
ME Aviation Services, LLC
3033 5th Avenue, Suite 227
San Diego, CA 92103
Attn: Johan Claasen
ME Aviation Services will be issued approximately 6,730,769 common shares at a value of $0.52 per share.
Johan Claasen - http://claasengroup.com/
This is EXCITING!!!
Valid point. However, TMPS should have skin in the game as well. Johan isn't there to babysit, but to help. From a business standpoint, I think it's a fair deal. Especially when Johan could be using that aircraft for another purpose.
Short Interest (Shares Short)
10,800
Short Interest Ratio (Days To Cover)
0.1
Here's my analysis for anyone that cares.
For a stock that's trading around $0.20, I still think it's an excellent speculative investment. You have a company that has operating history and clout with government entities around the globe. Unfortunately, they have faced some major headwinds. The fact that the private side did not merge with the public side was a disappointment for me, but there's still TIME to add a tremendous amount of value, and for $0.20, I think the stock is worth the risk.
They will close on the L-1011 transaction, without a doubt in my opinion (huge potential for added revenue)
Once they officially close, I think you'll see the stock jump and contracts to follow
For 9 months ended Sep 30, they showed $2MM of gross profit on just under $12MM in revenue (not bad at all)
SG&A came way down, they're managing expenses well
Scott Terry has the security clearance, the prime contractor relationships, the DOD know-how, and also the global connections
Scott Terry's past is riddled with success in this industry
The convertible note is not due until April 2018 (my opinion is that Johan Eliasch DOES NOT want to convert this note, and TMPS has been making the required payments, hence the large increase in Interest Expense)
Interest Expense is going to a billionaire that was willing to work with TMPS and owns shares of TMPS right now, Johan Eliasch wants to see TMPS succeed, he knows converting his shares would be catastrophic
The share structure is still attractive, no real dilution until April 2018, and like I said, I doubt there will be dilution because Johan Eliasch is not going to do something stupid
One new contract and we're back in this thing like you wouldn't believe
Yes, it sucks that they are terminating one of their aircraft management agreements, but it happens, you move on and you hunt for more. TMPS has a massive (lack of) working capital issue, but they are using equity to overcome that, and so far they are managing it very well in my opinion. They will only use equity when they absolutely have to, and the share structure allows them to do that while keeping dilution to a minimum. Johan Eliasch still has skin in the game, and I'm sticking with my investment.
This isn't Scott Terry's first rodeo, we just need to get past a couple hurdles. My gut feeling is that the L-1011 transaction is going to pay off big, and that's what I'm betting on, and for $0.20, the risk vs reward makes a ton of sense.
Companies use unaudited financial statements for quarterly reports, sparing the expense of unneeded audits, but in practice, there is not much difference between audited and unaudited results. Pretty much every company required to produce an audited annual report uses unaudited financial statements for quarterly reports. Just because their auditors are in essence "reviewing" the numbers, they are still preparing for the eventual full year audit. Yes, you're right, the quarterly numbers will be unaudited, but really the statements are being prepared for an annual audit, which is why I refer to TMPS as having audited financial statements.
Audited financial statements always take time and are always delayed, unless, of course, you're a massive company that can afford to pay millions of dollars in audit fees. For a company like TMPS, this is pretty typical. The audited statements will be released shortly I'm sure.
For working capital and to make sure they have plenty of dry powder on hand. Most companies have a revolving line of credit or working capital line for core business purposes. However, many companies try and stick to operating cash flow and will not tap their "revolver" or line until they absolutely have to. Same concept here, just a different financing tool or structure that TMPS is utilizing.
I was flagged for being off topic.
I'll put it another way:
In regard to TMPS, there are some who are here to simply disrupt and discredit TMPS. It's one thing if you're providing well thought out analysis even if it's negative, it's another thing when you are simply trying to distract. Pay no mind to the distractors (you know who they are), they show their true hand every time they post. Ignore them, don't respond, they want to bury the posts that are well thought out.
When I see the distractors posting a lot, I know they are worried!!!
Building a company takes time, everyone relax. The L-1011 transaction will close, but it's time consuming. I feel like lawyers can sometimes argue over the word "the" and how it's interpreted for 2 weeks. Inspections, permits, contracts, filings, financing arrangements, etc., are a recipe for a slow bake, but rest assured the timer will ding.
Patience will pay off when it comes to TMPS, and the stock trading at $0.25 is an absolute steal.
I can tell you that they are executing on their current contracts and they are always bidding, but again, these things take time. There's a bid process, an award process, and an appeal process, all of which are a time suck.
From a business perspective, I feel everything is moving along very well, it's only been a few months since the restructure, you have to give it time.
The future still looks very bright and the financials look quite good for a stock that's trading around $0.25.
Finally broke through the 50 and 200 day moving averages along with pending news and earnings. Volume supports traders taking notice of the technicals and the fundamentals (news/earnings) will catch up shortly after. Looks like the bases are loaded at this point with a potential big hitter coming up to bat.
In regard to the Department of Defense bid process, I'm starting to see contracts awarded and I'm hearing whispers.
September 30, 2017 was the cutoff date for contractors to submit their best and final offer. After that it goes through an appeal process, and I'm starting to see the appeal process run its course.
I know TMPS has bids out. Looks like there's a lot going on with the company right now and they're about to officially secure the L-1011s.
Great post!
Not concerning at all. He's focused on building a business, not tweeting. Transactions like this take time, plain and simple.
Anyone in contact with management know when TMPS is slated to release their Q3 numbers?
Apple computer started in a garage. Biotech companies have multibillion dollar market caps and no revenues. You do realize this is a penny stock, right? You do realize the meaning of speculation, right? Earning new business and executing on the business they currently have is what moves the stock. Whether you're short or long, you provide zero value. It's called speculation, not bet my entire 401K.
It's not April yet. Anyone involved in this company, whether it's from an investment side or a business side, isn't spending the time and energy if they don't see potential. Good job, you're pointing out the hurdles of a penny stock. Bravo.
TMPS does not need to be profitable in order to execute on their plan. By the way, a company can still cash flow even when they show net losses.
They have $12MM in equity that they can tap, along with the time to execute on their business plan, they have options. Johan Eliasch isn't stupid, he's not going to convert his shares for pennies and limit any real return while diluting the stock. This is not a "bankable" credit, which means they have to use alternative financing sources and riskier structures. It's a penny stock, quit acting like your analyzing a company that trades on the NYSE. People should just stop responding to you based on your garbage analysis anyhow. You lost any ounce of credibility when you stated that securing additional contracts would not be good for the company and may hurt retail investors, which is by far the dumbest thing I've ever seen on a platform like this.
Agree 100%.
They can refinance or pay off the note. I'd bet everything on the note not converting.
That quote may be the most ridiculous and unintelligent statement I've ever read on a platform like this. Wow, just wow.
Zero credibility, and I mean zero.
Good deal.
As I stated previously, I do not think Johan Eliasch will convert the note into common shares come April based on the latest equity agreement, that dilutive aspect is off the table. I also think management will tap the equity agreement (per Scott's email) as needed and will use common sense in doing so.
Any proceeds if drawn on from the equity agreement will be used for creating value and securing contracts. Right now they have a lot of dry powder on hand, which is always a good thing.
I'm still very comfortable in owning this stock even as additional shares may be issued; dilution is still very manageable and any proceeds will be used for much needed working capital that should equate to contracts being secured.
I believe this is quite the buying opportunity at these levels.
I disagree with your last statement or sentence, I think it matters greatly. However, I obviously like the company and I hope management manages the issuing of shares adequately.
I don't think Johan Eliasch will convert the note into equity come April based on the the new $12 million equity agreement, but I would email Scott Terry and ask him how much of the $12 million they plan on tapping right off the bat.
Substantial dilution isn't an issue yet.
This is all about dilution, but keep in mind, you know exactly what your downside risk is here. My concern is the old DryShips scenario, which is issue new shares and do a bunch of reverse splits.
I still own TMPS and believe they'll execute on their business plan. I'll be looking to add more shares as well.
Great post!
Ouch. That's what you call scorched earth.
Just getting started.
Because he's going to grow it, hello?
Milk it dry? That's laughable for a penny stock that has a market cap of $3.5M, wouldn't be worth the time and effort. He could get a better return elsewhere. Give me a break.
GHS Investments, LLC, is a leading private investment and management group providing financing solutions for high potential small cap enterprises.
What you want to focus on are the words "high potential".
The fact that GHS is willing to go up to $12 million is a very good sign. If you knew anything about equity financing you would realize that this is quite the vote of confidence.
TMPS has the right, but not the obligation to sell, up to $12 million of its common stock to GHS, in an amount that the Company determines.
You're all talk. You come to a penny board to shoot down highly speculative companies in order to feel smart. You provide no meaningful analysis and constantly spew pps and bid talk like you know what you're talking about. I doubt you could even look at a balance sheet and know what it all means. As I stated, the loudest one in the room is the weakest one on the room, and you prove that on a daily basis. You're about as worrisome as a cloudy day, bud.
Absolute gift at these levels; are you kidding me?
Working capital issue and bullet debt or convertible note issue solved per the 10/10/17 filing.
"On October 6, 2017, we entered into an equity financing agreement (the “EFA”) with GHS Investments LLC (the “Investor”), whereby the Investor has agreed to invest up to twelve million dollars ($12,000,000) in shares of our common stock over the course of 24 months following effective registration of the shares with the Securities and Exchange Commission."
I feel lucky to be on the ground level as this company gets built-up, and I'll keep buying more as "agenda investors" push the stock down.
Also, it looks like under the terms of the equity agreement, TMPS has the right, but not the obligation to sell, up to $12 million of its common stock to GHS, in an amount that the Company determines.
GHS has also participated in the restructuring of convertible securities in the past.
I'm blown away that this stock isn't trading higher, but I'm confident that this spring will uncoil at some point. Just look at the filings since Johan Eliasch came into the picture, it shows a promising future if you put the pieces together.