Retired
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
If telling someone that repeating the same unsupported information, time and time again is "wagering a losing battle". I effectively did.
However, all I said was that the unverifyable affirmation of RAW was of 3 thing one:
1- He was lying
2- He had been lyed to
3- He found something no one else could. I even offered hypothesis which could have explain his quoted 6,000,000 number, assuming it was right.
Now we know it was but still have no clue what these additional shares were used for.
If I did beleive everything I read because it's repeated time and time again, I would bet the house on Veltex, based on Matin's UNVERIFYABLE claims.
Melissa Barras, General Manager, has many years of experience in management and administration.
Anyone knows when this person came on board?
To keep on going on assumption, I prefer looking at it as follows:
1 "So you are assuming that the 4+ million shares went to KCA Garment"
I am assuming these were used to reimburse loans made from Veltex Mills over the last 2 years, putting our ownership as garanties.
"completing" the KCA purchase, may only have involved the most recent 500,000 shares we just found out about.
2- "That part of Veltex Mills that we do not own is worth 18 million shares according Matin's proposal"
That was true in October when the shares were worth less $1.00 ($0.01 X 100). More recently, shares were worth close to 4 times the then current market price.
3-"What about the financing that Matin was looking for at a 50% discount?"
To my recollection, he did stop the process quite abruptly. I suggest that thru this effort to get short term financing against discounted shares, he met someone who made him understand that time had come to normalize the company and stop operating as an amateur hoping for the best and running short of time and ressources.
I suggest lots of answers but realy have as many as most in here (assuming some do know more that I).
By building Veltex Corporation in this fashion, he gave the company these unusual advantages: "A credit line supported by revenues from Velvet Textile Mills." (source: http://www.otcgrowth.com/showcompany.cgi?companyid=00000008 )
My thinking (Hypothesis as usual) is that trying to create an empire made of multiple synergetic components (see Dec.2002 business plan) he created a hole into which consumed a lot of money (he already admitted the transportation disater) forcing him to extensively use the said credit line.
I suggest that may be the recent instateneous growth of 4,000,000 shares (worth more or less $10,000,000) was used to re-imburse his loans from Veltex Mills, before he can have acceptable audits produced.
As for the most recent 500,000 shares, they may have been issued to complete the one year old purchase of KCA.
The next few months should be quite interesting ... ONE WAY OR THE OTHER.
An optimistic scenario or hypothesis about what could be going on behind the doors:
First hypothesis is the whole Veltx corporation effectively produces the claimed financials.
1- After a couple of years trying to survive, building a U.S. based distribution set up and many errors and bad decisions, consequences of lack of realism and understanding of the environment,
2- Matin got to the point where he has a valid operation and continuous cashflow problems are getting him in an increasing difficult situation.
3- In urgent need for new fundings, he finally realize, from discussing with someone having the needed funds, that the only way out is to normalize the company. This also happen to be the timeframe when the new commerce agreement between Bingladesh and USA was announced.
4- Sometime in last October he gives in to his potential investor and accept to do whatever is needed to normalize his situation (get the ownership question resolved, clean the books, have a serious audit performed (FY2003 initially, the FY2004, report to SEC)
5- Then get required fundings in return for shares (yes even more shares).
IF SO (What do I know?):
1- some time in first or second quarter next year the real picture of what this is all about will be known (I assume that we then will find out that 3 to 4 million new shares will have been issued (total of 10 to 12,000,000 and Matin doesn't have control anymore).
2- Profit/share is more or less $0.50, justifying a shor term PPS of about $5.00 (mid 2005) growing normally with the business results.
If this is not what is going on behind the scene, then quite soon we will again see PPS of $1.00 or less.
Downward potential as of today $1.00 to $2.00.
Upward potential as of today $3.00 +
That's called a speculation.
Best wishes for 2005 ...
For those interested, Comilla (where the plant is) is about 50 miles from the sea, right on the border of India and the waves did absolutely were not a factor.
See MAP at : http://www.lib.utexas.edu/maps/bangladesh.html
Great check point. Nothing to add.
Since we are in guessing mode:
MAYBE 4,000,000 shares were used to buy Veltex Mills (or whatever portion of it we didn't own as of last August 25th)
and MAYBE 500,000 more were used to "complete the purchase of KCA.
Whatever the case, we have no clue where these shares went.
It may end up being a pure theft by Matin and his close ones, it may be a step toward normalizing a less than honorable string of hidden facts and events or anything we want to IMAGINE.
Personally, I tend to beleive that:
1- Matin dreamt in 2002 and embarked himself on a grand synergy scheme
2- He had tremendous financial dificulties (at least with his transportation adventure) and had to borrow against assets he had (Veltex Mills ?)
3- Badly needed cashflow to keep going
4- Finally understood he needed clean books, audited and reported if serious funds were to be accessible
5- Got his auditors and lawyer at work trying to clean the mess before anything could be done in view of becoming a normal company.
And that's where we stand, waiting for them to finalize the cleaning.
This being said: What do I know?
"Gee, what do you know"
Read my lips:
"I (WE) know fuckall, not having ALL THE NUMBERS"
Again, I do not say you misuse the method, I say one can INTERPRET the number whatever way he wants if he doesn't have the whole set of numbers.
Wasn't a theory but an hypothesis as good and as foolish as any at the time.
Veltex Corporation, announced today that it has completed an acquisition of KCA Garment Industries.
I tought (did'nt say know) this had already been bought for cash and shares a long time ago.
Now it says the transactions was "completed". Could it be that new shares (or related proceeds) went there?
Who bought? Initially I tought it was Veltex Mills (100% own by Veltex corp) now it's Veltex corporation buying.
What do we own?
Veltex corp owning Veltex Mills owning KCA?
Veltex corp owning both Veltex Mills and KCA?
Veltex corp owning KCA but not Veltex Mills?
?????
"After the fact, they both either
will have been lucky by saying something that verifies itself (time didn't play it that way for Bush. Let's see if Rawnoc's WMD's (6,000,000 + of them will have been out there).
As I said, AFTER THE FACT, we know.
However, before the fact we do not.
Still to be seen is what are these WMD's realy all about?
Numbers can say whatever one wants to read in it if you do ot have them all.
For the moment at least, whatever the whole set of number is, people do not seem to rush dumping their shares based on the know numbers we have:
Time: 11.49
Volume: 58,292
Price ( $ 2.30 = + $0.20 OR 9.52% )
Obviously people wait for the wheel to stop.
Don't tell me. Nice for you to tell us ???
Uncertainty is the only certain thing with this stock.
Not a chance my friend.
Still trying to find out myself.
Absolutely.
On the otherhand, we are in hypothesis ranges both on future number of O/S's and what is owned.
Number of shares is (obviously) unreliable if projected in the futur.
Own assets is as unreliable based on what we think we may know.
Multiplier is impacting whatever unknowns are described before.
This is a "GAME" not an investment.
And this board allows players to discuss the odds (opinions).
That's all I say.
20/20 insight the credibility of both will come from real credible (i.e. not message board) sources.
Right now it seems that RAW had about the right number of O/S's and Matin had the right number describing the float.
Up to taday, we only had one source (an unreliable one considering it was anonymous) relative to the number of O/S's and we still have only unreliable one (Matin is not credible based on past experience) related to everything else.
If that is what it says and IF we own something generating earnings of $7,000,000 it means that our shares are worth (multiplier of 8 to 10:
($7,000,000/6,67600) X (8 or 10) = $8.40 to $10.50
However, we do not yet know for sure what we own.
Since you insist...
I said all along that you may or not have been or be right.
Message boards are fun but quite a shitty way to assume you do DD reading it.
Till I see the audit (obviously not this week reading the pr), I cannot care less how many shares are out there if I do not know what's behind it.
1/2,500,000 or 1/10,000,000 of close to nothing would be the same.
If we do not own Bingladesh (therefore KCA) or we do is the question I look an answer for.
Second, audited, reported financials will tell us what we divide by how many shares.
Till then, we discuss the sex of the angels ???
Yes I got that also...
"RAW really hopes that the share count stays where it is, that the company is for real, and that it continues to be very profitable so he can buy in..."
As I said to my daughter, If you lie ... be credible.
I do not say RAW is lying but being unknown to me, there is no way for me to know if what he says is the thruth (I do not care how many time he does repeat it) or nt.
This is why, I did spend some time in the past challenging his affirmation saying "may be" and "may be not".
As for the pictures (added to those I saw of the bingladesh plant (I hope it's not close to the sea) it proves that there are offices in CA, there are garments in the offices and there are a plant in Asia.
The issue is that we yet have no way to know thru credible sources what we own (Veltex Mills), what the financials realy are (audit and reporting) and how much sharing we do in whatever Veltex is (O/S).
This morning PR certainly doesn't help and, as for RAW's affirmations, repetitions does not create credibility.
For me, Matin and Raw have the same behavior and do have the same credibility.... RIGHT OR WRONG ???
Here's what is important in this PR (I do ot call it NR):
Veltex Corporation, announced today that it has
completed an acquisition of KCA Garment Industries.
Javeed Matin, CEO of Veltex Corporation, commented, "We are very pleased to consummate this acquisition as KCA Garment Industries This will allow Veltex to be extraordinarily competitive."
"This year KCA will do about $20 million in total sales with $2.2 million in net income."
Finn Walstad, CEO of OTCGrowth.com, stated, " The Company has a current PE of less than two times earnings."
Veltex is currently undergoing its 2003 audit, which the company expects to be completed in the near future.
Great points.
However the use of the word "investment" in this case seems quite inappropriate.
For the moment buying stocks in Veltex is at best a "speculation" even may be a "bet".
If gambling is not your game stay away from any such stocks where normal DD is close to impossible.
"hanging on to this thing for 2+ years"
Granted 2 years not looking at a dormant stock but overall I got my first 500 shares ($0.43/ OLD shares) 5 years ago. Always were part of the + or - 5% of my portfolio I use to bet or speculate on long shots (generally not pinksheet stocks however ... unless they end up there with time).
If patience is a rewarded virtue down here, Heck, I should be rich one of these days.
LOLLL!
More seriously, if the number of O/S went effectively up drastically (factor of 3 let's say) what will be significant (if we ever figure out what this thing is all about) will be to know what the proceeds were used for?
Enjoy yourself...
If you realy want to know what I tought, think, said and would say, go back and reread my old posts (and this time try to understand them).
Have fun.
I do not know if it's "on the way" or not but as for a "major news" ther are not to many possibilities. Either Matin goes belly up or we get the infamous FY2003 audit.
Let's think positive and that you have reliable "sources" (hopefully better than a claimed unnamed voice that you would be the only one to hear)
LOL
O.K.
I had a lot of free time today but enough is enough.
Whatever your reasons, see my post number: 6099
"How about.....a guy who is telling the God-honest truth?"
I already said that this was a possibility.
See my posts numbers 5966 and 5993.
And "For at least the 15th time" we do not even KNOW what you are talking about, what it realy means and where it comes from.
I have no doubt that this is your beleif.
"But, again, for a guy who doesn't care how many shares are outstanding.....you talk about that topic an awful lot."
Find a place where I am affirmative about the number of shares are out there.
Second I do not discuss the number of shares outstanding. I just challenge someone "pretending to know" or "possibly having mislead" or is "lying outright" repeating continuously for 2 weeks the same message, not even trying to qualify what it means ... for whatever reason (misunderstanding or other).
"I have neither recommended anybody buy or sell"
May be not in that many words (I never said you were stupid) but you darn well know what your "continuous repetition of an unverifyable information" is doing (at least you hope so).
On that basis, I do not see much difference between Matin and you.
One is repeating again and again a very positive story. The other one is repeating a very (assumed) negative one.
In both case, no one YET can validate what they realy talk about.
"2 million shares outstanding have 3 times the potential versus 6 million toward the unknown."
Not if you do not know what the proceeds of the additional shares were used for.
Example: When there were 2,000,000 shares assume we effectively had morgaged or borrowed against our presumed ownership of Veltex Mills. Now assuming there are effectively 6,000,000 and Matin got (considering recent market) $ 3.00 value/share) and used it to buy back the debt, thereby getting back the ownership of Veltex Mills (generating the claimed revenues:
At 2,000,000 shares we were owning !/ 2,000,000th of close to nothing.
At 6,000,000 shares we now would owned 1/6,000,000 of something generating a $7,000,000 profit in 2004.
What is better.
This being said everything you said (same for what I say by the way) is pure speculation.
The only thing we KNOW is that: "Matin say Veltex generates a profit of $7,000,000 per year".
Considering his credibility, the fact is we know nothing and your 6,000,000 shares are as meaningless as the 2,000,000 alluded to by Matin in his PR's.
Savvy investors care about both the number of shares outstandind
AND
What's behind it.
Otherwise you realy do not have a clue what your shares are realy worth.
You either understand that and have a personal agenda trying to influence some thru a message board (using half thruth if thruth at all) or you do not, therefore should not even play the market (because that's all it is right now a play).
I only said tha THERE IS A POSSIBILITY that you lie.
I also said there is a possibility that you've been lied to.
I went as far as outlining a scenario which could have justified the number of shares you claim to be outstanding.
This being said:
WHO CARES ?
We do not know (neighter do you) what's behind whatever number of shares are out there.
"It is equally committed to always exceeding ... shareholder value expectations."
HhUUUuuuMMMMMMMmmmmmmmmmm!!!!!!
Oh Ya !
Let's see...
If I understand you right there are 6,176,035 shares issued up to now by Matin.
Point made.
Repeating it over and over again doesn't add to the credibility of your "discovery" but it's getting pretty boring... even more if this is done undersyanding that we do not even know what Veltex is or not.
Hoping you find something else (hopefully supported by as verifyable as possible facts) to discuss ...