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There is no retail shorting of this stock, just an urban legend.Ask any market maker and they wil tell you the same thing.
However, just my opinion but the lack of an 8k covering what did or didnt happen March 6 to me is a red flag.Forgetting whether the were required to make a disclosure ( I think so), is this marketing by silence strategy working in anyone's opinion ?
I guess in retrospect did the reverse split achieve its objectives ? I didnt buy before the reverse,I sympathize with those who did.
I agree some civility and politeness always in order.
Short selling ? What evidence is there that there is any signficant short selling in this stock Certainly not by any retail investors ( no one has indicated any US brokerage firm that would permit this), and unlikely any sustained short selling by market makers, IMO.
Pure and simple story is either not convincing, not packaged right, or not distributed right, sufficient for demand to exceed supply of the stock. In a nutshell the marketing by silence, or avoiding answering key questions, isnt working.I prefer to be positive, but just my opinion something is wrong here.
Sounds logical
Isnt there a diploma mill with very similar name that grants degrees ?
BTDG is amazing to watch, I love their press releases which not only usually dont make sense, never result in anything. I try to be fair to CEO that maybe he has technical knowledge of a sort, but there is nothing that indicates he knows how to run a company.
His supporters are amazing, not one can point out 1, just 1 successful business initiative the last thee years.
Financial statements are a joke, along with claiming he is in mining business, and mortgage lead generation business.But I guess everyone knows this so anyone buying is just buying for fun.My impression is CEO thinks filing papers with Pink Sheets is being in business.
And why no reverse split ? Probably BTDG doesnt have money for fees, and is worried DTC would put chill on their stock if they file with FNRA and get new cusip number.
I dont discount that they may get bond funds back, but I do believe they will require a new bond which may not be that much less or may be more.
The acquisition cost must be allocated , generally would be land,buildings, equipment,mineral rights and goodwill. Mineral rights and goodwill in particular need to be tested for impairment. Since no reserves most likely proper accounting for a SEC reporting company would require impairment. In any case they would be allocating the cost, not current market estimates- and cost as detemrined by fair market value of consideration issued.
Also there is different accounting if seller is in any way a related party, at that point they could only book predecessor cost, i.e. what seller paid.
I suspect if they acquire the mine there wil be reclamation liability potential, and a new round of permits and imspections required. I would fall out of my chair if they had any ore from newly acquired mines in 2013.
$6 million in "market" value wont show up on financial statements as per US GAAP as one cant write -up assets to market value, unless they acquired such assets at that cost.Where did this figure come from, a independant appraisal ?
Kind of like press releases announcing value on metal in the ground without considering extraction costs or capex.
I really wish the company would stop this sort of overly-promotional marketing which frankly raises doubt in my opinion for any serious invesor. They should just put out a corporate update, answer key questions, aim to be transparent. The key elements to the story (a) control of a mill (b) nearby mining projects(c) company plan to realize value with key benchmarks and prorgess towards them.
And as a broken record, release an 8k on what happened or didnt happen March 6.The longer they wait the more apparent management clearly doesnt wish stockholders to know status.
The basic story is a good one, can management execute ? While day to day price declines dont bother me as I epxect such in this stock, it is a concern management apparently oblivious that their marketing strategy of silence on key issues just isnt working.Or can someone indicate it is working ?
Frankly I doubt they will get the $540 back or even most of it as they will most likely have to post a new bond for operating the mill once they get a permit without conditions.I could be wrong of course but rare an operating company's bonding requirements decline compared to a non-operating company.
The other possibility is sheer incompetence of CEO who believes everything he is told, and also believes everything he dreams up. Who knows .
Hard to believe this fellow has an MBA considering the silly financial statements that are definitely not GAAP. Putting a footnote in that says the financial statement is prepared according to GAAP doesnt make it GAAP. Negative assets ?
What is fascinating that no suporter can ever point to 1 concrete success of BTG the last three years. They cant even generate $20,000 in revenue per quarter let alone profits.
It is positive they brought in some money during this quarter. Admit I missed that subsequent event comment.
The fact that they could convert doesnt mean they did, hardly would they have converted to restricted stock- they need to hold for 6 months. So together with balance end of November that is almost $300,000 to convert ( before drawing down more convertibles) subsuqent to November 30.It does show somehow the DTC chill factor not hampering convertible notes being issued.
We can agree to disagree- IMO the company should have filed an 8k within 4 days of March 6 announcing whether deal closed, re-negotiated or in negotiation, or terminated. Any investor who bought based on press release anouncing millions of dollars in value to be acquired March 6, then March 6 rolls around would consider it material what occurred or didnt occur. Indeed I recall several posts emphasizing how important march 6 date was. If this is how this company views transparency, I have a feeling they are headed for problems at some point. I am quite sure any securities lawyer would agree an 8k filing was necessary.
The convertible figure more like $230,000 not $85,000, as I posted before it is the face value that can be converted, not the value after the unamortized discount.
Quite agree that the total funds required clearly the company either has to re-negotiate or settle by means other than cash, as I doubt company has ability to raise $5 million at this time.
My opinion has been that (a) maintaining funds to stay a reporting company (b) deal with permit issues (c) negotiate the various pending requirements, requires at least as much cash as they had to cover last year which is around $400,000. You indicated that one method is using up what appears to be unused convertible note agreements of $400,000, but as I pointed out this would not explain increase in authorized shares the last few months- but the $200,000 on balance sheet may have already been converted, without raising new cash.The next 10q should answer these questions.
So if you are correct they were able to draw on existing arrangements, that would be $600,000 in conversions this year + whatever shares they have issued for bills and services.I am quite curious with a DTC chill how the convertible noteholders are dealing with clearing and trading issues, guess we wont ever know.
Crtainly I am not recommending an agressive pump and dump promotion, but simply a conservative corporate update answering key questions that cause so much doubt to be raised.
As far as funding for mine exploration and development I dont really think much would be done this year with the shape of the company's finances, and this will not be an overnight process re-gaining access, setting up underground services, personnel, etc etc. Mill feed if at all possible this year would have to come from mines already operating, and company would need to offer better prices and terms to get the business.
I guess we can agree to disagree on one last point- I find the lack of an 8k on the March 6 transaction or lack of, inexcusable. First step in building credibility is transparency, they dont need an outside IR firm to do that.
Thanks for the positive and straight-forward email.
I have to admit when I look at the other famous website, while they do not seem to be objective (nor polite), the lack of information this company releases seems to play right into their complaints. There is no reason for key questions not to be addressed, especially after that reverse split, and the CFO having voting control + a second position on the mill. It would be very easy to assume there is something wrong with this company-thus why my opinion has been the IR is very faulty. This strategy of silence just creates more doubts.
This is a public company, the lack of an 8k about the March 6 due dates is inexcusable in my opinion.
Yes they have control of a mill, in an area of mining potential, and high commodity prices, during a downturn in mining equities. Surely speculative potential. Why the silence ? Why not systematically build credibility. How difficult would it be to put out a corporate update and answer questions raised by stockholders ?
Price is dropping and could drop by much more.Still someone is buying, but what happens if demand drops further ?
If indeed they have raised $200,000 via convertibles this means that within 6 months that amount can be converted and hit the market. My first question is if indeed they raised $200,000 since November, wouldnt some of this have gone to meeting permit conditions, and wouldnt company have released an update on progress ?
Second, if they raised this amount it would have not increased the shares outstanding,so increased outstanding shares would reflect conversions of prior convertible notes plus shares issued for services. ( since no amounts issued for private placements have been reported).
I agree this is all guesswork until they file an 8k explaining situation of the next 10q. But I still stick to an estimate ( perhaps now on low end) of 200 to 250 million outstanding shares this year.
CFO is a bit stuck in my opinion- no conventional financing via bank loans or private placements seem likely of any signficiant amount, convertible financing will just keep increasing public float steadily. With IR strategy of silence, hard to see where increased demand will come from in the short term.
Guess everyone betting (hoping?)that (a) they will get permit with conditions removed in time for a September start date (b) that there is mill feed that can be processed immediately (c) that new convertible will provide sufficient capital (d) that an IR campaign then would start to absorb the continually increasing amout of shares outstanding until profitability reached. Is this the scenario you are forecasting ? Do you believe they will re-open on schedule ?Someone stil lbuying so there must be believers still in this stock.
Sure is interesting time for this stock.
Are you saying CFO is selling but not reflecting sales on his Form 4 filings ?
Does anyone have access to 144 filings ? This would clear up I think who is selling and who isnt.
But in my opinion for reasons previously posted , I am unclear why anyone would be surprized at price declining.
Guess though someone stil buying.
I have no idea amount of time this director spends but some level of compensation necessary for someone serving as a director of a public company ( many people wont because of liability concerns). Since s8 filed last year I assume free trading, but I didnt check. Question though, my understanding a Form 4 needs to be filed whenever shares bought or sold, I wonder under s8 and 16b3 rules that also holds. So what is reasonable compensation for this position ?
The balance sheet impact will depend on how the purchase price is allocated, and to a degree whether the seller is considered a related party (i.e. the issue of predecessor cost. If not a related party, the purchase price would be allocated to land,buildings, perhaps infractructure and mineral rights. However if no reserves on the property, which in USA generally requires a feasibility study, then the acquisition cost for non tangible assets would be impaired and expensed.
Is it worth $3 million ? Without a reserve study showing NPV and IRR hard to be precise in value. One method would be estimated resources,less cost to develop to reserve status, and then compare market capitalization now and forecast compared to other companies with similar potential or actual resources. This of course is very inexact.One must assume management believes this price is a reasonable one that is accretive to
shareholders. We dont have a recent update on recent economics or a formal NI43-101 report, or even a description per SEC Guide 7,so I havent a clue how one would determine whether $3 million a recent price.
Since company didnt raise $3 million according to recent (or lack of ) filings, will be interesting what final deal is.
Did they provide any funding prior to quarter ending November 30 ?
The accounting treatment of such a purchase depends on what is being ruchased, i.e. mining rights alone, or mining rights plus land plus infrastructure etc.US GAAP gives gudiance on this, the SEC though is quite clear that generally they do not allow deferred costs for exploration not related to reserves , or require impairment if reserves not present.
So there is no reason the deal wouldnt be completed because of SEC accounting reasons- keep in mind in USA at the federal level it is a disclosure system not a merit based system.
No disagreement that the company has put out press releases, my opinion is that the marketing strategy is faulty IR at this point. Answering key questions would be an excellent start in increasing investor belief in the company meeting its projections.If I am wrong why is price dropping if they are only five months away from production ?
In your opinion after announcing all this value acquired subject to a March 6 payment, why does company not update shareholders ?
Pardon me but how was this raised ? Since they have filed no private placement notice nor new convertibles, I would assume only from the availability under the previously quoted convertible arrangements. unless I am missing something that would have amounted to $220,000 or so maximum ( the differnec ebetween prior outstanding and the convertible arrangements disclosed on the 10k/10q, unless I misunderstood).
Looking at the fact sheet if one takes revenue X gross profit percentage, it certainly doesnt come up to $50 million in the first year nor the second year. Then one has to factor on G & A costs, and any exploration costs- since they have no reserves exploration expense according to US GAAP and SEC accounting practice it needs to be expensed.
Are you factoring in discount that convertible note holders receive when they convert ? Since they havent announced any private placement, any share issuancs either went direct for certain expenses, or raised through prior convertible notes ( since no new ones reported).will be interesting the next 10q.
I quite agree that we have seen buying in the market, and maybe positive stock hasnt dropped more the past month.
However I stick by my opinion supply will continue to increase, and ball park financial requirements are at least the same as last year, i.e. they covered $400,000+ in operating expenses in cash.Just to stay a reporting company they will need $50,000 to $100,000, and certainly between property deals, legal issues, whatever work being done on the mill, that could easily amount to another $300,000 this year.
They may have drawn down on prior convertible arrangements depending on how one interpets their last 10k and 10q filings ( the "credit line"). So let us say they need in cash another $200,000. At $.005 that comes out to 40 million shares, even if stock price $.01 the convertible note holder will take quite a discount.
I agree there is a lot we dont know, but I am fairly confident company needs money to operate especially if they are planning on re-opening the mill this year. My own forecast they will end up at 200 to 250 million shares, which probably means share price will go down before it goes up, unless more demand is created or emerges.The mill wont generate positive cash flow overnight, it needs start up working capital, even if mill feed immediately available.
Utlimately if stock price trending down there is more supply hitting the market tan demand.
Why sell ? Company's main asset control of mill, and possibility of getting permit, then after that potential for someone to buy them out or even get some mill feed in 2014. So IMO if one is speculating for those possibilities if they pull it off, whether $.01 or $.005 today wont matter. Or simply their message is not accepted by the market for whatever reason.
My opinion simply is stock price is a function of supply and demand. Since company has publicly stated they will re-open the mill, and they have no current positive cash flow, they need to increase supply of shares. No marketing to create demand or no effective marketing, so supply exceeds demand, therefore price drops.
Agree reverse split must be coming as company is stalled for sure.
Uplisting, I am not sure where this idea would come from. One glance at financial statements shows that to get several years of audited statement would be time-consuming and costly- probably more than starting a company from scratch. Why would anyone go through such bother ? Like everything with this company, lacks common sense.
Like the 5 million financing which is "confirmed", even if CEO believes such things, they never happen for this company. Is the CEO rational at this point ? They claim to be in mortgage lead generation business yet their financial statemenst show no revenue from this line of business.They claim to be in mining yet no exploration seems to be taking place.They claim to be merging with a hip hop company, so where is the documentation on this merger and after a year where is even $20,000 in revenue or investment form this.
Why would this be a bottom ? Company is projecting re-opening the mill plus other capital requirements, and they had limited cash,so they need to issue shares to pay expenses and raise funds at some point. Since it seems marketing strategy is to say nothing, I am not sure how demand for stock will increase on no news.I wonder what the 144 filings are showing ? Shares have increased substantially since reverse split to 122 million, I dont see any reason why this growth in supply of shares will not keep increasing.
As I indicated I looked at what was spent last year in cash, some $400,000, and figured it is just common sense they wouldn't need less.
Looking at their 10k comments + their february fact sheet update which maintains a forecast of re-opening the mill this year + costs to be a reporting company etc, the $400,000 would seem a very low estimate of what they need to meet their projections.
Since they are already at 122 million, my opinion company will reach at least 200 to 250 million shares outstanding.
this year.I admit though this depends a lot on share price during this period.I agree until we have more information it is difficult to forecast but isnt that what any investor does to try to see where the company is going ?
As far as issuing shares to build up a cash reserve in my opinion that is unlikely.
hah amusing. wonder if pots will be sampled
I had originally projected 150 to 200 million shares outstanding by end of the year, now already first quarter 122 million shares oustanding.
If another $300,000 needs to be raised or issued in settlement for services rendered, at a price range of .00375 to .01 that would another 30 to 80 million shares. So I think that my former estimate too conservative, although based roughly on cash raised last year as a starting point for what they need this year.
So IMO the range of outstanding shares this year will be at least 200 to 250 million shares, at least. What are the estimates of others ?i.e. is this too conservative ?
They have no choice but to dilute, how else will they raise funds to stay a reporting company, advance the project through permitting and pre-producton requirements ?
You could be very right but either they met the original publicly stated terms, or they didnt-either way there should be some announcement.
If company puts out press release and SEC filings indicating a significant mine purchase is due to be paid for by March 6, that can be certainly construed as material informaton for investors, yes disclosure rules require within 4 days of the event an 8k is to be filed.
My comments have nothing to do with short term hyping the stock with overly-promotional press releases ( as this company IMO is prone to). It is about building credibility keeping stockholders informed of material events and progress against the company's own stated objectives. This type of credibility doesnt happen overnight.
Imagine a company saying it has signed an agreement to acquire a $200 million asset to be paid for March 6and it didnt pay for the asset nor re-negotiate the deal, wouldnt an investor wish to know this ? Isnt $200 million material for a compay this size ?
I have no idea what occurred except what they forecast in their press release and what was on their SEC filings.
I certainly agree that the priority is getting the conditions released from the permit is a priority as is getting minimum funds necessary for company to sruvive.
It remains my opinion that the company needs to build credibility through communicatons that address investor concerns and questions, and shows that management can meet key objectives. In this internet world it is easy for potential investor to check past press releases and results.They may not have budget for full marketing campaign but they can certainly issue periodically corporate updates, and file 8k's on material events. The company also has to raise funds and a declining stock price certainly doesnt help.
Let's be realistic- in neither my post nor that of anyone else I can see has anyone recommended stopping the activities you mention from continuing such as they may be. However for stockholders to make a profit, and company to raise financing, the stock price and volume are necesary for company to conduct the very activities you mention.
Stock price is low and declining, yet the gold price is high, company controls a mill, and is a public company. IR is as important as operations and finance for a mico-cap with no current cash flow, it all works together. My opinion has been the company doesnt answer many key questions and doesnt present itself in a way that could build more confidence that management can set and achieve the broad objectives it has presented to the public.Addressing this issue doesnt necessarily cost a fortune as the starting point is to recognize the problem and focus on building credibility through news that is released.
Where do you think financing for a company with this balance sheet and stock price is going to come from ?
You have followed the company for some time and could very well be right, but I have the distinct impression that CEO actually believes he is "doing business", and by generating all sorts of paper that this is being a consumate deal-maker.It is curious if his financial statements have any bearing on reality how company pays whatever bills it generates
You have to admit though it is always interesting their press releases ! Gold mines, mortgage lead generation, cable tv, hip hop- mergers, million dollar funding arrangements, etc etc. Supporters who cant name 1 initiative that has gone right.
How could a several million dollar property agreement announced with values of metal in the ground not be material ?
Sorry, I assumed that everyone would share the opinion that the payment wasnt made.Second yes I ask questions and have learnt a lot from the opinions of others.
Since we dont know what were costs to finish meeting permit conditions and working capital for mill kind of hard to estimate what funds are needed, and what were available form prior convertible note arrangements. Assuming funds were available though, just my opinion, company needs to now start addressing questions in a systematic and conservative manner so it can build credibility rather than try to start all of a sudden once mill is up aad operatonal.
I still wonder why 10k silent on this point.
A good start would be filing an 8k on the March 6 transaction.
As far as bank extending credit line to this company IMO that simply will not happen unless they were producing at a profit. Just because permit issued wont make banks in this environment extend credit lines especially when main asset has both a first and a second mortgage on it, plus all the liabilities company has.
if i am wrong, how would payment have been made with no 8k filed on how funds raised ?
Hpe they are aggressive enough to succeed with acquisition to increase their market cap and get mroe of a presenc ein canadian markets.