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Thanks, and I appreciate your maturity. We can all voice our opinions here of course, but until we hear updated facts, our own views may run circles around each other. And I know I have a lot to learn yet in investing and business in general. GLTY
Solar projects in Italy are mentioned in each of the following SEC filings and PRs since the 10/13/10 date of the one article/announcement you posted.
10-Q on 11/22/10
8-K on 2/2/11
8-K on 3/11/11
10-K on 4/15/11
S8-K on 5/13/11
10-Q on 5/23/11
PR from 1/26/11 announcing merger/term sheet
PR from 3/11/11 about the $50 million loan that will finance projects (including solar photovoltaic projects)
PR from 5/16/11 announcing merger closing
So. If solar projects in Italy (among other locations) were not a definite plan for this company, why are we hearing about them constantly?
You should read, among other things, page 5 from the 4/15/11 10-K about "government regulation." This is particularly interesting. If you do a little research, you will find that Italy has recently (in the last several months) planned incentive cutbacks that have/will hurt the profitability of many power projects and businesses relying on these incentives. So some of 3Power's Italian solar projects may be affected beyond what the company can control. Just an FYI.
And please. If you're going to post here, I would enjoy the board more if (1. you would give this new global company some time to get moving and follow through, and (2. consider stepping outside of the "pinky" mindset for a bit to see a new perspective. Cynicism can be good and is warranted in many instances. Almost everybody has gotten burned before in the pennies or pinkys.
I don't know everything about 3Power and how their plans will play out. But IMO, the company has continued to provide enough information and understanding that we can clearly see they intend to follow through what they say.
Lets keep a few things straight.
The next news we hear from the company very well could be an update on acquisitions/closings of pipeline projects. Some of these are listed directly on their website (like hydro in Turkey, and solar in Italy), and others have only been previously PR'd (like the signed 58MW wind projects in Chile and 47MW wind in Ecuador).
There are also plenty of other updates and news worthy items that could be addressed. We really don't know what they might tell us next. However, using posts as an indicator of immediately forthcoming PRs just because a project is in the "final stages," may not necessarily be a smart idea. In my opinion, of course.
3 Key Relationships and Why They Matter
A little bit to read, and imperative DD to understand.
1. 3Power Corporate Leadership and Financier CR&P Holding S.p.A.
CR&P Holding S.p.A. is a diversified investment company based in Rome with portfolio holdings in real estate and renewable energy and recent asset valuations in excess of 323 million Euros. Since August 2008, 3Power CEO/Board Member Ricardo Valentini has served as a managing partner of CRP Merchant Corporation (sub of CR&P Holding) in the areas of investment banking, mergers and acquisitions. He has primarily worked on development of energy assets with particular focus on energy production and storage. Since 2007, 3Power Board Member Antonio Conte has been directly affiliated with CR&P Holding S.p.A. and is the Principal of several Italian real estate and investment businesses.
Why the Relationship Matters
CR&P Holding S.p.A. has provided the $50 million credit facility to finance both new and ongoing pipeline projects in wind, hydro, and solar power. Experienced individuals with direct connections to the money are now at the head of the company. And 3Power acknowledges the important experience these men hold to grow the company and move forward. This relationship should be pretty self explanatory.
2. Rudana Investment Group AG and Capital Trust Holding AG
Rudana was the majority shareholder of PSPW prior to the Seawind Services/Energy acquisition, and they also had hydro projects they were to contribute prior to the deal's closing. However, Rudana has been through bankruptcy proceedings, and as of May 16, 2011 the company is dissolved. Rudana was not listed directly as a beneficial owner in the May 13 Super 8-K filing confirming the merger (although they still may be), and neither were their hydro projects.
According to the S8-K filing, it is likely that 3Power has entered into an agreement with Capital Trust Holding AG (CTH) for basically any service needed to move the company forward. CTH will be paid $25,000 per month for management services fees and 8% transaction value of any merger or acquisition. The list of services includes that CTH "will assist and advise the Company on developing strategic plans for inception of operations, preparing acquisition growth plans, identifying potential acquisition candidates, initiating discussion with potential acquisition candidates and strategic alliance partners, analyzing the financial implications of potential acquisitions and strategic alliances; negotiating terms and conditions of transactions and strategic alliances; outlining and managing the due diligence process; developing strategies to maximize revenue and corporate value including growth through sales, utilizing alternative distribution channels and enhancing marketing programs and providing support for investor relations programs."
Why the Relationship Matters
Hany Salem was the principal director of Rudana, and as of February 3, 2011, he is Chairman of the Board and CEO of Capital Trust Holding. For whatever reasons, Rudana the entity no longer exists. But CTH is very likely the vehicle that Hany Salem and any other former Rudana directors are now operating. This is especially meaningful in regards to the hydro projects from Albania that Rudana was supposed to previously contribute (see 2/2/11 8-K). The May 19th PR stated that 3Power "has made significant progress on the license acquisitions in Albania." An email on May 23 from then CEO/CFO and current CIO Toby Durrant to an iHub member (see post# 33054) verified that the Albanian projects are "a key area of development for us," and reiterated the info from the PR release.
Without some form of official confirmation, it is unknown whether all of Rudana's connections, relationships and projects are still in play through Capital Trust. The key for understanding the magnitude of this relationship stems from the contract that Rudana signed in April 2010 with the Albanian government for the construction of hydro power plants over the next 4 years worth 4 BILLION EURO ($5.5 BILLION). For reference on the Rudana-Albania deal, see www.balkans.com/open-news.php?uniquenumber=55095 or watch the signing at www.youtube.com/watch?v=utBSZ7KsukU.
3. Seawind's Business Connections and Past/Current Customers
Because Seawind was a private entity prior to the Services/Energy subsidiary acquisitions (and Seawind International still is), the full reach of their relationships remains relatively unknown. However, the S8-K merger filing and Seawind's website provide a look at their past and current customers. Such clients include:
Barrick Gold (ABX), Ingeneria Seawind Sudamerica Limitada, Tethyan Copper Company, Vestas, GE Wind, and Shell (more can be found at www.seawind.uk.com/Projects%E2%80%93Clients). Seawind's customers for ongoing projects reside mostly in China. There is a JV with Guangzhou Seawind – GZ Wind Energy Solutions Co. Ltd, as well as work with Guangzhou Guangzhong Enterprise Group Corporation and China Tianyun New Energy Technology Co.
Why the Relationships Matter
3Power's anticipated portfolio of 300MW projects by the end of 2011, and 3GW within the next 3 years may highly depend on how quickly the company can hit the ground running. Seawind, although only 10 years old, is not a start-up. They are an established operating company with customers and revenue. And they are profitable, although they hold a fairly substantial amount of debt (see S8-K and 8-K/A for financials).
For example, take 3Power's agreement with Power Andina Limited for 2 wind projects totaling 58MW in Chile. Since Seawind had previous projects in Chile, it seems likely that the agreement with Power Andina Limited would be based on an already existing relationship, or an extension of a previous project. This turns out to be true, of course. Energia Andina SA (Power Andina Limited) is a geothermal/renewable energy company founded and 60% owned by the copper miner Antofagasta PLC (www.reuters.com/article/2011/04/15/idUS70501+15-Apr-2011+RNS20110415). The other 40% was previously owned by Chile power company "ENAP" but was sold to Australian power provider Origin Energy just 2 months ago. Origin has a global portfolio, including renewables (www.originenergy.com.au). Antofagasta just happens to be in a joint-venture with Barrick Gold to form a 50/50 JV with Tethyan Copper Company, both of whom are previous Seawind customers.
From the merger 8-K, 3Power described the advantages Seawind brings. "Through the Seawind acquisition, the Company has established a strong presence in the core target energy markets in Latin America and links to major industrial and utility-based potential customers..."
Got a review of some basic but important DD that I'll sticky. I want to get feedback on it in case I've missed something big.
UHD, no one that I know of on this board has. Its been very silent.
I'd say it was profit taking from a 4000% overall climb, NOT dilution. Plus as of last week, the post-merger 109M OS (as described in the merger 8-K) does not seem to be in effect yet since the TA has the old SS numbers (I am unsure as to why).
Of course there was some unneeded hype here on the board along with the merger news. But beyond that, the pps climbed from .06 to 2.48 in just a few months, and with such a tiny 12M float...well, its been a little volatile, haha. But its generally stayed within support levels and the 50/200 day SMA for awhile now.
I think the Bangkok Solar deal could be used as a benchmark for future prices, but not for an accurate valuation of the company as a whole IMO. Based on what 3Pow has told us so far, BSP has not purchased shares yet (will be in 400,000 share increments, I believe). In my opinion, 3Pow has to get things rolling with their solar projects/connections (looking better now with some financing in place) before the BSP deal starts/continues. All just my thoughts as I try to interpret the facts we know.
A lot has changed since March, and until we see more progress, an accurate valuation is still tough to produce. But bagholders? Nah, I'm still up over 400% from my biggest buy at .14, and there's a lot of longs still with me. Some investors bought at 1-2 dollars, and that's still a good deal long term IMO based on what we know.
Tiso, thanks for all your work on the Seawind China and Bangkok Solar connections lately! You've been digging up a lot of good info, a lot that I've never seen before :)
I would be hesitant to confirm the man in the Bangkok Solar picture as Marcelo Banto. Mil0x brought this up a few months ago, and I had to take a step back and look at the facts (see post# 14718). While he does look similar, we don't have any way to actually confirm that's him (no names or description on the BSP site with the pics). And obviously, we don't want to provide potentially inaccurate info to others.
From what we know, the BSP agreement in June 2010 was with Prime Sun Power only at the time. The pictures on the BSP site were uploaded April 2009. If we can accurately verify a connection between Seawind/Seawind Sudamerica and Prime Sun prior to the merger this year, our confidence in the Banto connection to BSP could grow significantly. Or even verification that Seawind has been working with solar panels as well (rather than just onshore/offshore wind, geothermal, and marine shipbuilding).
I know there is a lot of current and background info that we don't know, but I'm just trying to keep the gaps in our fact finding as accurate as possible :)
Thanks, this is fun :) And great attitude adeezl, I like it!
Thanks Kristall and everyone else for the support. I know how much I've learned from this board and its great to continue helping to share the insights!
If they've been around since 2006, I would lean towards no affiliation with our 3Power since that name wasn't established til this year. But you never know.
When will the Albanian projects hit? 3Pow has a lot to work with! :)
From yesterday 7/6, "...the government has signed concession agreements for the construction of 220 hydropower plants, while work is ongoing in 36 of them..."
http://www.balkans.com/open-news.php?uniquenumber=111126
I'm game, Wakl :) Thanks for thinking of me!
Hi all! I've been out at a wedding all morning. Thanks for the recommendations. I haven't had a whole lot of time to devote here recently and probably won't be able to watch the board at all times. Just in the mornings for a bit and my lunches. But I would still accept an asst. mod spot if the invite is still open...
I love finding connections and bringing accurate DD together! GO PSPW!
As of July 4th, we've got some new subsidiary names! I received an email alert this morning from dellam.com about it.
SEAWIND SERVICES LIMITED is now 3POWER PROJECT SERVICES LIMITED.
http://www.dellam.com/05597511-3POWER%20PROJECT%20SERVICES%20LIMITED.html
And SEAWIND ENERGY LIMITED is now 3POWER ENERGY LIMITED.
http://www.dellam.com/05230954-3POWER%20ENERGY%20LIMITED.html
I'm archiving a certain "chart" of yours for such a time haha. Have a happy 4th!
ahh, wakl you're killin me :) some of us slaving for corporate america still have another 2 and a half to go. don't make it any more painful with this "cold one" talk hahaha
Nothing new yet, been pretty busy here so I haven't been watching much. Maybe I can dig up something over the long weekend if I have a spare moment :) Still loving my .14s/.16s!
So as a current customer (or at least at the time of the filing), there will be a revenue stream. It also says in that same section that...
"Seawind Services will complete its existing external contract commitments and move to become the internal provider of EPC/engineering/project management/operations and maintenance services to 3Power Energy Group."
So we should be seeing revs from the current customers in the next quarterly a few days from now, IMO.
Gomez, I know you're well aware of everything we're ultimately waiting to hear about. But the most likely updates IMO should be in regards to the appointment of an IR agency and an update on the Albanian projects and/or licenses for those projects. Perhaps even a brief progress report on wind projects in Chile and Ecuador, or additions to the estimated 300MW pipeline by the end of the year.
Oh, it's taken place. They wouldn't have filed the monstrous S8-k if it wasn't a done deal. But even in my limited 5 years of business experience, I know you've always got to be prepared for things to pop up and expect change in business deals. So they may be working through some details or unexpected situations since the official merge. This thing is just getting started, really.
Maybe so, but I'm not throwing Durrant out of my gmail contacts just yet ;) He may have a little more time to thoroughly communicate with me now that he's not solely running the show.
Sure thing! I'm trying to keep everything straight myself haha.
I thought the TA was just incompetent when I called at the end of May and still got the same 40m OS. But when someone on the board here called a few days ago and STILL got the same numbers, it made a little more sense IMO -> the small float was unchanged so profit taking, sell on news, market cap "adjusting" or whatever did a number on the pps following merger hype.
Still solid here, but why has the OS not changed yet? I think we need to find out what's been going on behind the scenes soon.
As of a couple days ago, the shares of the new 109m OS hadn't even been "processed" or whatever by the DTCC yet. Someone called and the TA still had 40m OS and 12m float. So the run up and cliff dive was purely on hype/confusion and the low 12m float, while adjusting for the 109m OS, IMO.
Is that verifiable anywhere other than a limited LinkedIn contact? Right name, country, and even "energy" sector. But IMO, unless we find a direct connection to BP, I would think that is not our CEO. It doesn't seem to fit with any of the info we already know, although limited.
I've tried and haven't found much. But I plan to continue digging as always :)
Ok thanks, yeah its said coming soon for awhile. False alarm I guess :)
Anyone else having trouble pulling up 3powerenergy.com? I'm taking it as a good sign right now that its be getting updated...
:edit: ok, maybe not. well, its on and off for me haha
Obama mentioned, "...and find new and clean sources of energy..." How bout a little 3Pow? :)
Good luck Zoe, and thanks for everything you've done here :) And Buckeye, I think he's up to 2.2 now haha.
I have no doubt he'll respond to me, but why ask "are we there yet?" Since there's been nothing released in regards to the items I inquired about in our last communication, I'm not inclined to just provoke the "we're working on it" response.
Granted, I feel that we should have been updated on the progress by now based on the wording and tone I perceived in his last email - "significant progress"..."updating shareholders shortly"..."expect to engage their services soon."
Toby told me straight up that he'll communicate openly about everything, regardless of the positive or negative nature. So that's why I'm only considering another email, because if there's something to tell us, he'll tell us.
Good to see you back! Might have lost a few, but most of us are still holding strong from what I gather. Not a lot to talk about here until further developments are released.
Just been bouncin around from .60s to .70s mostly. You're right, they're doing what they said they would so I assume no news is good news, but an update on the progress is a bit overdue IMO. I haven't contacted Durrant again since he emailed me back last month because I want to see him update us on the items he mentioned. But depending on what happens (or doesn't happen) the next couple days, I may drop him a line next week.
Just a short blurb, but dated today.
"Albania opens bids for construction of hydropower plants in Korca and Tirana." Think Durrant & Co are working on some bids? :)
http://www.balkans.com/open-news.php?uniquenumber=109273
ahh, i was just thinking about some 101s on the close for a big spread like today haha. glad to know you've been picking up more shares for awhile :)
On the road today so I haven't kept up here. Does ihub have an android app? "Shortly" or "imminently" could denote a timeframe that is much longer than the 37 bloody minutes a "pinky" trader expects to be fed their fluff PR by. And I'm not going to read into every word Toby says, Ill just be patient. Have a great weekend all!
Yo, that's huge! I don't know if it would directly influence the projects we're getting, but it open the door for much more.
"For the first time in our country’s history, the government has officially started selling the electric power plants to private companies, a sector that has been a state owned property for several decades, since they were constructed."
http://www.top-channel.tv/english/artikull.php?id=1072
Oh, and GO MAVS! :)
sync,
thanks for message, yeah i've been a fan of the bucks forever! beckman did get screwed, and hopefully braxton miller et al can develop quickly. but the tressel thing is the hardest for me b/c i really admired the man.
and i'm totally with you. i got in at .14 and .17 then topped it off at .60 and rode the whole thing. i actually figured out how many free shares i would be holding had i sold at $2 and bought back at .70. then it just ruined my day, so i've let it go haha. but we all know this is far from over...so much yet to come :)
friggen hilarious. and yeah, its pretty thin back to $1.