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It's filed as an exhibit as part of the 8K - that makes it part of the 8K. Keep grasping at straws.
Makamai
MF - Unlike some on this board, I don't change the contents of a "quote" to distort its meaning when I publish it. Check it out for yourself. I told you where it came from.
Makamai
AAO - You didn't dig very deep. The 8K is very clear in the exhibits as to the interest rate of the note:
"...The terms of the financing include a cash disbursement to Magnum of $15,000,000 USD. In return, Magnum will issue an eight (8) year convertible promissory note that requires no payments for the initial four (4) years. Interest will accrue at an equivalent rate of 12.5% per annum non-compounded to yield a total overall return on the investment instrument of 50%. In the fourth through eighth years of the note the interest rate will be reduced to a 5% per annum yield. After the fourth year but before maturity the holder may elect to convert the note to common stock based upon a trailing 20 trading day closing stock price...."
Makamai
TWS - Obviously Simco has done sufficient research of Magnum to know that the company will be able to follow through with their Business Plan and become a major player in the recycle and rubber markets. They would also have to have been convinced that SRI's patented technology will work and that Magnum's management has the ability to make it all happen. It's not every day that a start-up would be loaned 15 mil in good times, let alone in this market climate. As you stated, Simco is an institutional funding group that is responsible to their investors who also would have to have been convinced of Magnum's worth prior to concurring on the loan. Simco's confidence in Magnum's ability to execute their Business Plan should give Magnum's investors that much more confidence that their money is well placed. This loan speaks volumes about the potential Magnum has and we should begin to see the benefits shortly.
Makamai
If it is converted, and that's a big IF, it will be 4 years down stream, when the stock price is a whole lot higher and the dilution minimal. Keep it up PP, you only have straws left to grasp for!
Makamai
Hey PP - did you check out that NR today - that's 15 Million BIG ONES without any stock dilution, to jetison the company into a major going concern. Now have you seen any other companies pull off that sort of financing of late without diluting their stock to da max?? Magnum even filed an 8k to boot! Wow, now how can you explain that?? Gee there must be some really foolish bankers out there that would invest that much money in a "Sucker Stock". Too bad you are not onboard to profit Prophet. Now the company can launch 3 shifts/day, and has funds for expansion, growth, aquisitions and setting up their fine rubber facility. So be a man and admit it - maybe, just maybe you had this one figured all wrong - or is bashing just a way of life with you?
Makamai
Well I'm suspect then - tell me Fsmith, would you purchase a shell and not give yourself a bunch of common shares right off the bat???? I doubt it seriously. Chad waited until the company looked like a go before doing it and I have absolutely no problem with it. It's well deserved and will be soon forgotton as the company prospers and all shareholders prosper. Also, what company has EVER gotten this sort of financing deal without MAJOR dilution - certainly none that I've ever been involved with. Like I said to Richie, about time to quit beating a dead horse...what's done is done...
Makamai
Richie - you are beating an old horse to death - those details were in the previous 10K and I'm afraid that's all the information regarding them that you are going to get.
Makamai
Richie - you said "The market has not been publicly told how the additional shares issued will be utilized, " What shares are you talking about? There is an option to pay off the loan in 4 years with shares, otherwise no shares will be spent for the loan?
Makamai
Here is the guts of the 8k. This is awesome - repayment at a minimum of 4 years down stream, up to 15Mil as needed - we even get another advisor on the BOD. This is a Great in good times and an outstanding deal in todays climate. Way to go management!
Makamai
Item 1.01 Entry into a Material Definitive Agreement
On March 16, 2009, Magnum D’Or Resources, Inc. (“Magnum”) entered into an agreement with the SIMCO GROUP of Quebec, Canada to provide Magnum with working capital to advance its business plan and complete the expansion of its Magog production plant facility in Canada. This agreement provides for a disbursement of up to $15,000,000 cash in exchange for a convertible promissory note that carries the following provisions:
1. A total repayment in the amount of $24,750,000 on the maturity date of March 16, 2017; and
2. The option for the note holder to convert the liability to common stock on a date commencing no sooner than four (4) years from the date of issuance, but before the note maturity date; and
3. A conversion privilege equal to at the average market price calculated over a twenty (20) trading day period preceding the date of the request for redemption; and
4. The option to extend the note at an interest rate of 5% per annum by the note holder.
The agreement also calls for the appointment of a SIMCO GROUP representative as a non-voting advisory member of the Board of Directors to monitor disbursements of the note proceeds and render general business advice to Magnum.
MDOR is a fully reporting company. They have never failed to issue the required filings in the past and will continue to do so going forward. No worry!
Makamai
Fsmith - obviously knowledge about the loan has been tightly held and there hasn't been any news from the company since the middle of February. The investment community will find out in due time and react accordingly.
Makamai
PP is a little worried now Dom that everyone can plainly see he has been way off base and that no one is going to believe his childish name calling and false accusations. Considering the current lending climate being so conservative, Simco would have conducted an intense review over Magnum's books and Business Plan before even talking to them. Obviously they passed with flying colors and went so far as to lend them 15 Million dollars. THIS IS HUGE! Magnum is lean and green. When the investment community learns about it, this stock will really start rocking and rolling. What I especially like is the statements in the NR about future planned aquisitions and JV's. Congrats to management and to all the longs. Your patience will now be greatly rewarded.
For anyone who missed the NR, it's available on Yahoo Finance at: http://biz.yahoo.com/prnews/090318/fl85428.html?.v=1
Makamai
Don't know - don't care
If MDOR was paying $17,500 for this sort of coverage it would be a steal. The following speaks for itself.
FORT LAUDERDALE, Fla., Aug. 26 /PRNewswire/ -- The producers of Our Planet are pleased to announce that Magnum D'Or Resources will be featured in an upcoming episode as part of the show's Environmental Impact series on Sustainable Resource Management Solutions for the 21st Century. This show will be aired multiple times on Fox Business Network, CNN Headline News, Discovery Channel, CNN, MSNBC, Regional News Network, along with other Networks,
About Our Planet:
The show marries an unrivaled host, Greg Gumbel with a team of highly experienced producers. Our Planet is a television show that celebrates successful sustainable solutions, made by individuals, organizations, businesses and municipalities all around the world. Informing viewers on a variety of topics related to preserving precious resources like water, air, fuel and energy, the goal of the show's producers is to broaden the perspectives of viewers from every walk of life, encouraging them to take steps towards achieving a brighter future, and a healthier and cleaner environment for all of us.
http://ourplanetstories.com/
About Magnum:
Magnum's proprietary "GREEN" technology provides a one of a kind solution to all of the challenges in eliminating Stockpiles of Scrap Tires and Global Waste including: establishing Turnkey Recycling/Waste Management facilities; design, manufacture, and sell products made with recycled materials; and institute viable solutions to the problem of recycling waste rubber. This also includes our one of a kind close loop recycling technology using our proprietary knowhow for recycling scrap rubber to produce a variety of end products while reducing greenhouse gases.
TWS - Have you noticed how much media attention is presently being given to "green" companies. Almost daily I see TV commercials emphasizing that their advertised product(s) are made from recycled material with an added emphasis that their company is committed to helping save the environment. There are lots of people and organizations that will only purchase "green" products. That's why Magnum has been invited to be filmed for an upcoming presentation on "Our Planet". Our patented products and processes which take an old tire and completely recycle it, even extracting the steel from it will become a media sensation. It will be gratifying to watch the naysayers and false prophets of doom suddenly vaporize taking their childish name calling with them, as the company grows by leaps and bounds making everyone who was smart enough to invest in it very wealthy. We'll see who has the last laugh.
Makamai
American Bulls issud a buy recommendation on 3/11 at .27. Since then the stock price has climbed 48%.
Makamai
Anyone that can read English believes it.
ASO - My banker owns shares in MDOR and is quite excited about it's prospects - either you believe it or you don't.
Makamai
W6 - Davis Jones Research says it's report is "an independant stock market analysis for the prudent investor" - either you believe it or you don't.
It says "Magnum d’Or Resources has a relatively low number of shares outstanding" - either you believe it or you don't.
It says "The management team running Magnum d’ Or Resources is experienced and capable of growing the company" either you believe it or you don't.
It says "Magnum d’Or Resources is actively working to ensure a liquid environment for its stock." Either you believe it or you don't.
It says that "the returns on microcap investments such as Magnum d’ Or Resources can be staggering." Either you believe it or you don't.
It says "A sound strategy for making money in the markets is to buy a rock-solid company while it is still ‘under the radar” of Wall Street". Either you believe it or you don't.
I happen to believe it and those are some of the reasons why I'm invested in this company.
Makamai
I've noticed that PERT seems to jump into the arena when someone has some shares to sell and then backs out. The chart is looking good for next week I'd say.
Makamai
I'm seeing the tightest spread we've had in a long time. PERT is on the ask at $.368 and NITE is on the bid at $.35. Looks like liquidity has improved and we are ready to rock and roll.
Makamai
He who laughs last, laughs best and the longs will be laughing all the way to the bank Prophet...
No worry - Magnum will do just fine with tire recycling and generating new patented rubber compounds. That way wind generation can be saved for the blowhards.
Makamai
Yup - the only guarantees in life are death and taxes, however I'm willing to go with the promises as summarized in the company's response to Johnsomw1
Makamai
The following is a list of documents that have provided the so called "insiders" with the knowledge necessary to make informed buying decisions. Now everyone can be as smart and as informed as they are. http://finance.yahoo.com/q?s=MDOR.OB
Makamai
•MAGNUM DOR RESOURCES INC Financials
EDGAR Online Financials(Thu, Feb 26)
•MAGNUM DOR RESOURCES INC Files SEC form 10-Q, Quarterly Report
EDGAR Online(Fri, Feb 20)
•Magnum Announces New Product Line, Grey Rubber (Mulch) Buffings, and Begins Discussions With Retread and Compound Manufacturers
PR Newswire(Tue, Feb 17)
•MAGNUM DOR RESOURCES INC Files SEC form 10-K, Annual Report
EDGAR Online(Thu, Feb 12)
•Magnum Announces New Product Line, New Client, New Sales and First Ever 'White Buffings' in Canada
PR Newswire(Tue, Feb 10)
•Magnum Announces Addition of New Client and Ships New Products
PR Newswire(Wed, Feb 4)
•Magnum Delivers Shipment of Rubber Buffings to Majestic Mulch (NSS), Announces Successful Test Run of OTR Buffing Machines and Updates Audit
PR Newswire(Thu, Jan 29)
•Magnum Completes Installation of 2 New OTR Buffing Machines, Ramps Up Production, and Prepares to Make Shipments
PR Newswire(Tue, Jan 27)
•Magnum CEO Updates Market and Explains Delay of 2008 10-K
PR Newswire(Tue, Jan 13)
•Magnum Releases 2009 Facility Expansion Plans and Announces Interview with CEO
PR Newswire(Tue, Jan 6)
Managers get paid to solve problems. There's none better qualified than Boux to maximize plant efficiency. Keep it up guys, the longs will have the last laugh on this one.
Makamai
I'm saying that from past experience, when the naysayers begin show up in force, there is generally a sizable move to the upside just around the corner.
Makamai
Based on what MonkeyFrog and PP have been saying, I felt confident enough to spank the ask for another 2K at .$35 today - just couldn't resist...now PERT has raised the ask to .38...
Makamai
You're just too funny.
No - it shows they are being honest and have nothing to hide...no hidden adgendas.
I agree - as an investor, you want to buy low and sell high. Taking a gamble on a company that has "potential" can be quite rewarding, if that potential is realized. However, the company must realize that to maintain their investor base, they need to be very transparent and keep investors informed as to their progress even if it is nothing more than "status" NRs. It's been my experience that when a company stops communicating with their investors, there is usually a reason, and that reason is rarely good. Silence isn't golden. It's been six months since the company has issued an NR. I'm hoping as are the rest of you that the company is securing new business. I would just hope that we hear something in the near future, or the recent stock gains will crumble just as they have the last couple times there was the start of a run to the .02/.03 range. GLTA
Makamai
I see your alias was born on Friday Feb 13 - that explains a lot.
Hopefully the update will be in the form of an NR, vice burying the info in the 10K when it comes out. The fact that the company hasn't diluted is, as you say, very positive. The company needs to show that it has the ability to remain in business in these economic times. It is understandable why the stock went sub penny with no income in the quarter ending Sept 30. There must be some believers who were willing to fund the company for a promissory note, but that can't last forever. Certainly hope you are right and we get the news needed to move this stock. It also would help if the company were to do a better job keeping the investment community updated on their progress.
Makamai
I do have a sizable position in this company - do you? I'm also not one to stick my head in the ground like an ostrich and ignore reality.
Makamai
The company obviously has a game plan and their following it. It may not be in accordance with your way of thinking, however time will determine how effective it is. So in the meantime we wait, since there is nothing else as investors we can do anyway, and hope for the best. So far my DD has convinced me that the company is on the right course. The company did hit a 52 week high back in October timeframe when all the other markets were tanking. I feel we could be headed that way again. However as I've already said, the market wants to see a source of financing that shows not only Magnum's continuing ability to make buffings, but allows them to expand into more profitable arenas such as making recycled rubber compounds for existing rubber components. I'm confident that's going to happen and I'm willing to wait it out until it does.
Makamai
Well, lets look at the company objectively. Revenue for the nine months ended September 30, 2008 was $80,934, a decrease of $219,066, or 73%, from $300,000 for the same period in 2007. This was a result of a decrease in government contracts.
Revenue for the three months ended September 30, 2008 was $0, a decrease of $100,000, or 100%, from $100,000 for the same period in 2007. This was a result of a decrease in government contracts.
Operations were funded primarily from the borrowings of promissory notes of $537,500.
They have been chronically late in filing their quarterly 10Q and annual 10K reports, and their annual report showing their 4th quarter which ended on Dec 31 should be out by the end of March unless they file an extension again. I’m choosing to wait and won’t be adding to my position unless we get an NR from the company indicating they have more contracts or their annual report shows income for their 4th quarter. It has been since October that the company has issued any news regarding the company and that was to announce that they are now approved by the U.S. Navy to serve as a subcontractor on the U.S. Navy SeaPort-e Contract. What if any work has been granted to them will be revealed in their annual report, however a company can’t live on only 1 contract very long. They have stated that they are looking beyond government contracts to stay afloat and rightly they should. However you can't exist on borrowed money very long. I’m just concerned that there are very slim pickings out their right now and apparently that’s what the market has been telling us based on the stock price.
Makamai
Well fsmith, you may totally reject the notion that you need money up front to pay workers when you hire them, but the last time I checked, deficit spending is what has gotten this country into its present predicament. The US government seems to have no problem with printing money and giving it to companies like GM, AIG, Banks, that can't effectively manage themselves, but do you think they would do that for you or me or Magnum? It has obviously taken a lot of money to put the plant together, and I'm sure they have a lot of creditors knocking on the door wanting payment in addition to those expenses you mentioned. Adding to that problem IMHO is no way to run a business. It's all about priorities and obviously the companies priorities are focused on enhancing the plant facilities in Magog, obtaining financing necessary to continue with research and expansion and not on mass producing nuggets and buffings at the present time. If you want more specific info, then I suggest you call Magnum and put the questions to them directly.
Makamai
Not sure I'd put my bonus check into this company unless I had good reason to believe that the company will remain in business. They may have a good product, but the last I knew they had no contracts and in this economy, their product could be considered a want, but not necessarily a must IMHO.
Makamai
Well, you got to crawl before you can walk and it takes money to run a business. It's a little hard to crank up 3 shifts if you don't have the money up front to pay your employees. Hopefully that problem will be resolved and then it's off to the races, but not before IMHO
Makamai