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S-1 = Desperation Time
Company will sell stock without aid of broker dealer. Really. No more capital input from Platinum who has been keeping them alive the last few quarters. If the virtual insiders aren't buying anymore, at expensive and dilutive prices, then no one else should.
Still disingenuous claim than Autillion, that liquidated company, might invest. Ya think?
This company's only prospects appear to be death.
Be very wary of a biotech that republishes old outdated PRs and hasn't had any revenue for a long time.
DO NOT BUY THIS STOCK
A quick skim through the S-1 filed today shows how desperate this company and management now is, and they started to now disclose some information...
But, how can anyone buy a stock where they...
Provide no current financial information. Why not a first calendar quarter set of financials, particularly for a company that is desperate for cash.
How has a company that ended 2013 with about $79,000 in cash been paying their employees and bills for the last 4-1/2 months?
Why over a year with no revenues? Why have prior "partners" stopped funding their R&D?
Why won't people like Platinum invest more money? What do they know after all their expensive, for the company, recent investments?
Now management is going to try and sell stock? No BD would get involved. This can't be good.
Anyone who invests based on publicly available information is likely throwing their money away.
If you are considering buying on this offering at least read the S-1 very, very carefully.
Because they are living on life support
In answer to your last question. This company isn't really real anymore.
So What
Not to be disrespectful, but getting a patent really doesn't count for much as no one seems to want to license or otherwise commercialize the work, including grant money.
This firm is held together by increasingly expensive financial bandages. They need revenue.
$0.01 Here We Come
History says at least one of the promoters will spend a few dollars to trade the stock back up to a penny.
This thing may be in a coma, but its not dead yet.
Much to Be Skeptical About
Company had $878K of cash on its balance sheet at 9/30/13 and was burning ~$400K per month. Be interesting to see where things stand when they file the 10-K.
They have large negative working capital.
CEO had to guarantee company credit cards - hmm. (read the 10-Q)
Company sold restricted stock at a major discount. Does this have anti dilution, ratchet, and/or make good provisions attached? If so, and they miss, watch out.
They are using restricted stock to try and acquire businesses; at least one of which needs cash for working capital.
There is a lot of unregistered stock out there looking to get registered. For a company with a huge market cap, no revenues, a lot of intangible assets, etc. if it gets registered the stock price could crater under the selling pressure.
So be wary when the company puts out promotional 8-Ks / PRs with no real content to them.
Desperate for $$
VSTA Board Members and Execs exercise out of the money warrants to provide the company with $207,500 of cash. The coffers must be running dry and the investor lifelines may have ended.
Barring any actual progress towards starting to produce actual revenues the end of this puppy is getting much closer. These are the typical last acts of desperation.
Mission IR Has Stock to Sell
Mission, who according to VSTA SEC filings has been quite well paid, still has stock to sell in VSTA. Their motivation is simple.
VSTA is a largely ignored stock who's collapse will come barring some commercial miracle. Maybe the tooth fairy is just around the corner?
Perhaps they should call Mr. Fowler for $
Look's like Fowler is back in business with his scams, though now from Hong Kong, this despite hime losing everything in his court case in Georgia.
But as he has real money, and BGMO, HH and VSTA need money maybe there's a new press release on the horizon.
Check out Fowler's Facebook page for some good laughs. He still hawks BGMO as one of his successes.
VSTA Has Zero Value
If as has been claimed, VSTA has technology that would solve pharma company's research issues buying VSTA would be chicken scratch for any of the large cap companies. For example, Pfizer has a market cap over $200 BN, vs. VSTA's at $6.7 MN.
That combined by no one in the industry being willing to invest, no VC money, no biotech money, no grant money in years, tells you that the insiders see no value.
Only a liquidated auto consulting company in Switzerland claims to want to make any investment. All this announcement has accomplished is to bring all the people who de-bunked BGMO to VSTA. No one, other than a paid IR is hawking the stock.
Once the stock starts to trade its toast.
Where, oh where, is Shawn??
CEO has not been heard from for investors in quite some time.
Is he begging investors for more cash, a nice dilutive placement, so the stock doesn't completely tank?
Is he out selling the solution to get more grant money or some real revenue? Well that hasn't worked for quite some time.
Is he cashing the check from Autilion? Hard for a liquidated company to write a check.
On the phone with HH? Hmmm...
I agree but...
I agree with most of what you say about VSTA. However, when they have done financings to keep themselves afloat they have not filed 8-Ks and this is very material.
Why they either ignore, or are complicit, in the whole Autilion saga. How at this point they haven't washed their hands of it is a real mystery.
As to their commercial prospects, the fact that they are receiving no Pharma contracts or additional grant money clearly indicates that it hasn't succeeded and the balance of the industry has moved on. This happens all the time in biotech. We can't tell the source of the problem given the poor reporting and relative quiet on the company's part.
How VSTA Doesn't Benefit From Big Pharma
The company line is that big pharma really needs VSTA's products...
Yet, VSTA has no revenue
VSTA is basically out of money
VSTA continues to say a liquidated company is going to invest in them
It may have been a great concept, it just hasn't worked.
10-Q: VSTA Hanging By A Thread
Pretty telling 10-Q. The "fat lady" is warming up. One does have to ask...
How does VSTA continue to get placements done? Who is dumb enough to buy a stock that's survival is based on funding from a company that has been liquidated?
Why, despite the hedge language, does VSTA continue to say Autlion will invest? Maybe management doesn't know about this thing called the internet where in a few minutes you can learn all about the total absence of any money?
If, as their IR promotes, they have any business prospects why have they gone over a year without a cent of revenue? No grants, nothing.
This is how biotech companies die. A few quarters of very expensive, lifeline, financing to keep the lights on. Then, death.
The doctors are getting ready to pull the plug on VSTA's life support machines...
Unless, Autlion makes more promises that the funding is just around the corner. In which case if I were a shareholder I would sue the company for lying.
Singh is part of the scam
There is no way a supposed Wall Street sharpie is fooled by BGMO/Autilion/Herzog. Maybe the first excuse and delay, but after nine months to still assert the money is just around the corner to keep the stock from totally cratering, or to string Platinum along for more cash, you're totally part of the scam.
Should be reported to the SEC for a Sarbox violation.
Singh has no business running a public company if he gets into bed with the HH's of the world.
Also, interesting that the only proponents for the stock and business are the paid IR firm. This company is dead.
Autlion AG in Liquidation
According to the official Swiss Corporate Regestry, this company is in liquidation. How can it invest in Vista?
Swiss Corp Registry Autilion AG
Click on the link and enter Autilion in the company name space
If you click on PDF in the above link you will see their liquidation document
The whole thing is a fraud, i.e., the most recent 8-K, and the CEO of VSTA has some explaining to do.
Autlion AG in Liquidation
According to the official Swiss Corporate Regestry, this company is in liquidation. How can it invest in Vista?
Swiss Corp Registry Autilion AG
Click on the link and enter Autilion in the company name space
If you click on PDF in the above link you will see their liquidation document
The whole thing is a fraud, i.e., the most recent 8-K, and the CEO has some explaining to do.
That explains it...
BGMO/Autilion mailed VSTA the check and it got lost and they're looking for it. That explains why HH is traveling around the world, just like Where's Waldo or Carmen Santiago, looking for it.
As BGMO/Autilion has no money and the check is made of rubber it is probably bounces around and hard to grab.
CEO is in it...
It seems pretty tortured logo to me at this point to conclude that Singh isn't in on the BGMO/Autilion fraud. He represents himself as a Wall Street guy. Any first year MBA student can tell you there is no money on the other side of the transaction. To continue to put our 8-K's claiming otherwise is fraudulent.
Best case is that the CEO is an ignorant fool who refuses to look at any real facts. If this is the case he has no business being CEO.
Probably doesn't matter as VSTA lives, or dies, based on their ability to continue to find short term funding. How long will this game continue. My bet is not much longer.
CEO is in on the scam...
I totally agree with all your points with the exception that the CEO is naive.
By inference he is in on the scam. This company burned through tens of millions of capital raised and grant money, with a nice piece in the CEOs pocket. He claims to be a lawyer and financially sophisticated and he buys into, and continues to say, BGMO/Autillion will fund VSTA.
Nonsense. He is looking to keep this ATM machine going for more money for him. He has no downside in this equation so a few thousand here and there to exercise warrants is meaningless.
If he is what he claims he is he long ago would have put an end to the charade. He hasn't so claiming he's naive doesn't work for me.
Looks Like Blatant Stock Manipulation to Me
Someone decides to spend a little money to jack up the price of VSTA with not a scintilla of news since filing the 10-Q = stock manipulation. All we see are repeats of way out-dated press releases and copies from the company's website.
No answers to how the company is paying its bills.
No announcements of any actual fundamental business progress in several years.
Someone clearly want to have a higher stock price at year end, hence the trade.
This puppy doesn't have long to live. How long will Platinum keep paying to keep the lights on so that they don't have to mark their investment down were it belongs, or just a few pennies?
It will get there.
HH is just too funny
So know he is allegedly in Pakistan sorting the issues out. Of course he isn't.
But what does Pakistan have to do with getting financial statements, that are audited, died with the SEC. Hmm, absolutely nothing.
What does Pakistan have to do with Autillion, a Swiss company, Absolutely nothing.
I thought the farce was over, I guess I'll have to check in more often.
A barrel of laughs.
Management in Hiding
So the official IR firm, when asked if management would hold a conference call to discuss the business with investors, responds by saying they cannot comment on events. Instead of management answering key questions about the business they choose to hide and say nothing.
For a company that needs cash desperately
For a company that has not produced any material business, ever
For a company that has burned through tens of millions of dollars with nothing tangible to show for it
For a company to enter into a share purchase agreement with BGMO, a fraud company (oh, sorry its with Autillion a shuttered auto consultancy) that is in default by management's own admission
For a company who's stock continue to drop in value and trades by appointment
For a company that has been reduced to erecting a small poster at a major industry conference, oh my how the mighty have fallen
For a company that has proxies continue to reiterate press releases from years ago that are obsolete
They choose to say nothing to the company's owners. Quite an indictment. By implication this company is dead and going nowhere as if there was something meaningful to say they would be shouting it from the tree tops.
Smart friend!!
Book your capital loss in BGMO for this tax season.
Here's how...
We all know that with BGMO in the grey market you need to actually match to a buyer. A rare event, if ever. Also, the SEC may, or may not, ever move to take further action against them which would result in a clean regulatory approach to booking a capital loss. We also know that BGMO has no money and no hope of filing the financial statements that would be required to satisfy the SEC and move back to the Pink sheets. Keep in mind that if they try there is no way to reconcile the past, fallacious releases and as such would tantamount to admitting they committed securities fraud.
So, find a friend at your broker who will by all your stock for say $1 dollar. Give the friend the $1 as well as the brokers fees. This will then result in a trade for all your shares at fractions of a cent. Book the loss and say good riddance to your BGMO shares.
VSTA was never going to amount to anything.
If one reads their SEC filings they haven't accomplished anything in years, they have burned through a large pile of cash, and other than a paid PR firm there is nothing happening.
If they had real business prospects they would have had no issue raising money. They didn't, hence enter the BGMO fraud machine.
10-Q Quick Read, The Lie Continues
A quick read of the 10-Q reveals that:
- VSTA had virtually no cash left at the end of the quarter
- They continue to survive on short term, expensive financing from Platinum
- They report no new fundamental progress in developing anything commercial
- Again, no more grant money
Through all this they continue to cling to the fraud, there is no other work, that Autilion though in default will come up with the $36 million. Pretty good work for a non-existent entity.
At this point one can only conclude that Singh is in on the fraud.
Its time for a Sarbannes Oxley suit against this company.
VSTA is a dead duck
Or acts that way. Still tied in with BGMO, check. Have they found any money to keep the lights on, no PRs to that effect. Is there any trading volume, nope. Have they said anything new and meaningful about business progress in the last year (as you point out), nope.
Be interesting if they file a Q on time.
Most likely the total lack of volume tells us that the institutional investors, if any, aren't dumping because there's no market and the retail is probably not even paying attention.
Sad that these promotions are allowed to go on as long as they do. Would love to see an accounting of how much of the money they pulled in went into the CEOs pockets. I be way too much of it.
Well, maybe they'll manage to put up another poster at an upcoming industry conference which they can try and parlay into driving the stock up.
No write off yet
Talked to an accountant. You are correct that until the stock is delisted the IRS could easily challenge any write-off.
Here's another article on the topic... The dilemma of almost "worthless" stocks
Delisting is clearly in the cards, question is where in the SEC's queue it sits.
Stock May Never Trade Again
Reality is this is shutdown. The SEC will in all good time finish them off via an administrative process.
If you want to realize the loss your only option may be to sell the stock to a friend who is at the same broker as you. Here is how you could do it. Say you have 100,000 shares. Get a friend to buy them from you for $0.0005 per share. The cost to you would be $50 plus the commission which you give to your friend.
Yup, its another small amount of cash out of your pocket but if you want the tax loss there may be no other way.
Note: you can essentially pick any price and lower the cash cost.
Playing with the Stock Price...
Someone(s) are actually spending a little cash, it doesn't take much, to try and boost VSTA and BGMO's stock prices. If any of this is real it is likely to have a higher price at the end of the quarter for reporting purposes (Platinum???)
Both are dead stories entering their final chapters and all the fun of watching them is gone. Now we just need to keep them honest, so to speak, so that no one else gets hurt.
Yup, Reality has set in.
Its nothing more than a formality now. Watch the SEC, I don't think they are done here yet. It will be the final nail in the coffin.
BGMO is dead.
The SEC Acts Independently
Here is the basic reality. No matter who alerted the SEC to issues with BGMO the way their process works is to conduct an investigation without anyone's knowledge; go look on their website. This is always the case. Hence, an inference about insiders trading is meaningless as insiders wouldn't know the SEC is looking.
Next, the SEC will look to see if an issuer is filing audited financial statements. BGMO manifestly failed to do this. Again, look at what they said when they suspended the stock, look at the laws that empower them, etc. This is why documents from the likes of HSBC are totally irrelevant other than for assisting in performing an audit.
As to a PR that says HH has left the country to get required documents. This is also irrelevant, and to be honest a little silly. First off, who knows where he is and when he's there. Remember what the SEC wants, which are audited financials. If this is what BGMO is doing then the press release should clearly state this and identify the audit firm. Any restoration from the grey market will require audited financials as a first step.
It is very unlikely an audit firm will touch this knowing the history with the SEC due to perceived liability. If one does take it on it will take them many months of work to prepare audited financials; assuming BGMO's books are in order.
Most likely the SEC will either do nothing or file administrative charges. Either can take time and they will not tell you what they are doing.
There is a chance they will file civil or criminal fraud charges if they find evidence that HH/SP/others improperly traded the stock. Again, only time will tell.
The net/net of all this is the stock is worthless and may never trade again.
What the SEC cares about
From the SEC's perspective the issue for BGMO is that the supposed financial statements they filed make no sense, are not audited and contradict each other. You cannot assemble a timeline of financial performance in any way from them.
The funding agreements, JVs, and other announcements are not really that important to the SEC.
Also, the way the SEC's processes work they have already reached their conclusions and what to do about them. This is a civil admin process as much as anything. HH doesn't go in and plead his case so to speak unless the SEC launches civil or criminal fraud charges.
Suspending a stock is extremely serious, damning and almost impossible to come back from. If there is any hope of rising from the ashes it will be off the back of legitimate, nee audited, financials.
Lastly, why should one think HH has ever been out of the country on a business quest, much less now? If they were serious in anyway they would provide the SEC with five year audited financials which will never happen. You don't need to leave the country to do so.
Jaw Dropping
There is no way to short a gray market stock so why claims this is still going on?? They very rarely if ever trade.
SEC only cares that BGMO provide proper financials. HSBC is irrelevant as BGMO doesn't have an account there. They need a CPA to bless the financials, which given BGMO's history is very risky to the CPA. Good luck getting it.
VSTA is also totally irrelevant, other than the guilt on both sides for getting in bed with BGMO.
The SEC by its actions has clearly told everyone this is a fraud.
Its About Changing the Topic
Throughout the BGMO saga there have been a few constants, with one being continual obfuscation by changing the topic.
Re-litigating BB Solar is one means of continuing this game. There is of course no there there. So instead of responding to the simple, observable and fundamental reason the SEC acted just keep talking about BB Solar and VSTA.
There is only one real reason the SEC has finally started a process which effectively ends the BGMO fraud: the posting of blatantly false, misleading and totally contradictory "financial statements". This is what will be BGMO's undoing and bring about either administrative charges and/or civil fraud charges. This is how the SEC works.
Everything else (including VSTA, BB Solar, HSBC, LL BRadford who may have separate issues, etc.) is just a sideshow.
At some point a true trade in the stock, at just above $0.0000 per share, will take place. The question is will the SEC finally end trading permanently in the stock before this occurs?
Reinstatement Process is straightforward
First, if there is either a civil or criminal complaint from the SEC then BGMO will never be reinstated. That said, if there is no further complaint the SEC will say nothing else.
The creates a challenge as once BGMO has filed acceptable, in essence audited, financial statements covering at least a three year period so that they are current with filings you need a broker dealer to sponsor them. This has never happened.
This is now about legal process, not opinions.
So What...
BGMO defaulted I wonder how VSTA's Board views that?
Its too late for that
No audit firm will take on BGMO knowing that the SEC is looking at them. Even if they did it would be expensive and take months.
Not ever going to happen. HH had his chance to try and be real and instead all he did was to dissemble and lie. It has caught up to him. Game is over. Too bad for shareholders who believed him.
BGMO is Dead, Admit It
I am truly surprised by the effort being expended to continue to argue that long debunked PRs from BGMO are real. THE SEC AGREES THERE IS NOTHING REAL HERE.
For BGMO to ever be reinstated to the Pink Sheets by the SEC they need to file audited financial statements. As they have never done this it will take both time and money. Knowing that the SEC has looked into BGMO any CPA firm that takes on such an assignment will be extra careful and take months at best. By then the stock price will be a fraction of where it currently is.
This is not about any previously filed documents.
This is not about filing any documents with OTC, they are not a regulator and are irrelevant.
This is not about showing bank statements or paperwork, other than in the course of performing an audit.
This is not about anything to do with VSTA, and remember that BGMO has never said a peep about this. All information has come from VSTA.
Remember, that when BGMO released their compiled financial statements that admitted openly that everything they had published in the past was a total lie and fabrication. Reconciling this will be a major challenge.
It is highly unlikely that BGMO can satisfy the SEC, it is unlikely they are even trying. More likely if they are even paying attention they are preparing a defense against civil charges.
The fact is that stocks do not come back from the Grey Market and no one should expect BGMO to be the first.