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.
You're omitting facts again.
Holding companies still need to pay for their investment. How will Redhawk pay for their stake? By issuing more shares. Which they've authorized.
Further... the $71 million number is 100% speculation. Everyone in real estate has grandiose ideas of what their property will be worth once renovated.
You think that buying a $7 million property and putting $20 million into it instantaneously makes it worth $71 million... That's delusional. Basic math tells you that there's a reason others didn't buy it.
When the hotel sold, they were looking to get double the selling price. But they didn't. There weren't other buyers. Ask yourself - why not? If someone bought the resort for double the price ($14M) and put in the same renovation total ($20M), they could make 100%. BUT NO ONE ELSE DID. There's a reason for that. Obviously.
Values of properties in the minds of the owners are always far more than what they are in reality.
UNTRUE! INCORRECT! MISLEADING!
They will own the right to purchase an additional stake. If the initial transaction is completed, they will own just over 5% of it.
The profit stake isn't going to come for years based on the purchase price and the sizeable loan the developer took to renovate the property. Approximately $20 million.
Question - how will Redhawk pay for the 5.59%? They have NO CASH!
The next question is - how would Redhawk pay for the 18.28%? THEY STILL HAVE NO CASH!!!
Please don't say Klug will give it to them - Klug isn't giving anything to Redhawk for free. Don't be naïve. That's not the way things work.
Funny how it's frustrating when people don't give facts, huh?
I sold enough to cover my initial investment and take a profit. I still have a good amount of shares which in at this point, my cost basis is 0.
Would you like me to answer with facts?
Or would you like me to be vague, make false promises, try to create a false hype, and try to sweep actual data under the rug?
Resort Facts Omitted... Once again as usual.
The Lafayette Property? What a JOKE!
The Lafayette property, for those that don't know, is a 3br/2ba house.
Beechwood bought it a while back, in 2008/2009. They attempted to sell it for $489,000 numerous times, with no one biting. They're now renting the property to a district court judge. It's not a building. It's a house. That Beechwood couldn't sell.
So what do you do with a property you're underwater on? Sell it to a newly created LLC, make your money back, and let the LLC and the shareholders take the loss.
What hasn't been revealed are the terms of the sale to Redhawk. Redhawk has no cash. Therefore, the guess is that the payment was made using the newly created shares (common & super preferred).
I'm willing to bet something similar happened with the tiny share of that hotel project as well. Klug is getting toxic properties off his own books & collecting something in return, that he couldn't get anywhere near in real dollars from the public.
You're claiming FINRA is colluding with MMs?
That's absolutely incredible. And irresponsible. I thought I had read it all here, but you just took it to a new level.
A name change isn't going to make a stock price go up. Period. They need to prove a substantial revenue stream. And to date- they have not.
How is IDNG paying for that?
They're not getting it for free. And they have NO cash.
IF, and that's a big giant IF, it's worth $71M as some independent appraiser claims, Redhawk's stake would be worth almost $4M.
Also, for factual reporting, you should note that Redhawk was "in advanced discussions to acquire a 5.59% membership interest and a 7.79% net profits interest".
New Look for the Website.
http://gunthergrant.com/
Any real facts, or just continued dribble?
This company is a joke.
Creating new shares to give to the board or to others is the definition of dilution.
The key word is creating, which they did do.
They have no cash to buy assets or pay expenses.
A name changes takes no more than a few days through FINRA.
Something is missing here.
Why on earth would anyone do that?
If you're moving personal investments to a holding company, you want something far more in return. You do not want to simply pay a commission and get nothing else. You're leaving a few key pieces out of the equation.
If I own a house, why do I want to have it held by a holding company? And in doing so, I would have to pay a commission to the holding company. I would want to share in the profits and get paid for the control of the property I'm giving up. Specifically, by being paid in shares. Maybe the little talked about mega preferred shares?
What perspective clients? Who are their perspective clients?
What investments are they managing?
You're creating a smoke screen, not saying anything, and making it appear like Redhawk is doing some groundbreaking work.
Seriously?
What you're saying is preposterous. People do not give a holding company assets without getting anything in return. They get shares, like the preferred and common shares recently created. Aka... Dilution. That possibly benefits the owners of the assets. Unless the assets are trash and underwater, like the "historical building" that Klug couldn't sell previously. Instead, he dumps it on Redhawk, collects a premium over market price, or at least makes his initial investment back, and the holders of Redhawk are the ones who suffer because now Redhawk has a property they overpaid for and the shares were diluted.
Without Revenue, there's no lift-off.
No name change will make up for lack of revenue.
Now that's some DD!
Well done, Homebrew.
If shares are issued for payment, wouldn't they disclose how many were paid to whom?
I wonder how much Beechwood was paid for the house. It'll be interesting to see if it was anywhere near the amount they couldn't get for it when they previously tried to sell it.
The amount paid should be a pretty solid indicator of the true intentions of Klug and Co. Hopefully it's disclosed on the next 10-q, as the deal should've been finalized in Q3.
They're diluting because they have no cash.
They have no money to invest in any new products or properties. And people aren't going to freely give their assets to Redhawk without getting something in return. Klug & Co will eventually build the assets and "investments" using newly issued shares which will eventually make their way back to the open market.
Maybe they'll just continue to dump toxic properties on Redhawk and take an overpayment of shares in return.
The price isn't going anywhere.
Without revenue (or products producing revenue) investors will continue to stay away and the price will continue to go nowhere.
I don't care how much of a supposed god or genius or mastermind Klug is... without revenue, this company is going nowhere fast.
Redhawk does not have the capital.
Maybe the executives have money, but Redhawk does not. And those people aren't giving money to Redhawk for free. The only way Redhawk gets cash will be dilution. There's no way around it. And they already announced the creation of new shares. Get ready for the inherent price drop.
No products + No revenue + Dilution = Free Fallin'
Maybe you missed my last reply. Here it is again
Let's go over some real questions, in the sake of DD. Let's try to have a conversation like adults, complete with facts and figures. Since my DD is apparently so weak, maybe some of you who are far more savvy can help me and the others here out. No, you can't use your standard "sell your shares" approach.
- How did Redhawk pay for that house, when they have no cash?
- How did Redhawk pay for that timeshare, when they have no cash?
- How will Redhawk continue to pay its expenses with no cash?
- How will these new board members be compensated?
Definition of Dilution. For your records.
A reduction in the ownership percentage of a share of stock caused by the issuance of new stock. Dilution can also occur when holders of stock options (such as company employees) or holders of other optionable securities exercise their options. When the number of shares outstanding increases, each existing stockholder will own a smaller, or diluted, percentage of the company, making each share less valuable. Dilution also reduces the value of existing shares by reducing the stock's earnings per share.
Read more: Dilution Definition | Investopedia http://www.investopedia.com/terms/d/dilution.asp#ixzz3lpwJed77
The answer to your question is easily found.
He gave you the costs to make the pendants. He gave you the sale prices. He gave you the amount sold. Feel free to do the math.
I'll do the math for you...
This board is all about the pump & dump.
Numerous dates have passed when the stock was going to soar. Too many to count at this point. Same core group of people are trying to lure investors with non-existent DD and they ignore facts from the filings and they'll tell you over and over to call Klug. Calling Klug does zero, as he cannot give out non-public information.
You're exactly right it doesn't add up.
Hasn't Klug already authorized the creation of new shares?
The answer is yes.
Good point... Dilution coming on soon.
New Update 09/14/15
No way it runs 1000% soon.
They have no products. They have no revenue. Right now, they have some thermometers in a garage, a house they couldn't sell because the housing market tanked, and some timeshare property.
I don't know how it hasn't dropped in value drastically.
Can't find any news on this company having any products for sale.
Klug will.
When he continues to dump toxic investments in Redhawk.
Don't neglect all the facts.
Yes, $57,628 was removed as a liability. However, $57,628 was also removed as an asset. No effect to the balance sheet.
Take that out of the equation and the major change to the balance sheet for the first half was liabilities increasing by $73,500 ($28,600 due to a related party and $44,900 accounts payable). The assets did not increase.
There you go with the insults again.
And refusal to share thoughts or answer questions.
We're not talking about other companies. We're talking about this one.
Don't care to address the 10-q, huh? Makes sense. There was nothing positive in there. And no happy little phone call will change the 10-q.
Continue on with the pump & dump posts. Keep trying to boost the stock without facts. As you can see, it's going nowhere. Volume is near zero and there's no interest in the board. The company has nothing going on as of now. Face the facts.
No substance. As usual.
Let's talk about the 10-q. What are your thoughts?
specifically in relation to the lack of revenue, the lack of revenue producing products, and the potential for dilution?
I don't even know where to begin with a response.
1.) You say this isn't a get rich quick scheme, yet over and over you continually say things like "wait for the 10-k - we'll be at $1.00." Or wait for June 1st. Or wait for June 8th. Or June 30th. Or August 8th. You continually toss out dates when the price is going to skyrocket. Up as high as $8. In a very short timeframe. That's the definition of a get rich quick scheme. You propagated that stigma for this company.
2.) What someone says over the phone and what someone does in real life can be drastically different. I'm not saying that's the case. But Klug cannot give any material of substance over the phone. That's illegal. You can think someone is your best friend and greatest ally, then their actions prove otherwise. As an example, and no, I'm not equating this person to Klug, I'm just providing an example: Bernie Madoff. He earned the trust and admiration of oodles of people. And you see where that got him.
3.) Stop with telling people to sell their shares. We're all adults and can make our own decisions.
4.) Stop with the insults.
5.) This is a message board. You'll find differing opinions. Deal with it. That's what it's here for. If everyone sat on their hands and asked no questions, people would have no real data to go on in their decisions.
What good does it do to call him?
- He cannot give out non-public information. Fact.
- Of course he's going to be positive and say big things are in the works. ALL company owners would say the same. No one is planning on failing.
- Are you going to make a determination on a stock based on the tone of his voice and his enthusiasm?
So tell me.... what information can you obtain from calling him? Serious question.
Here's my prediction... all the cheerleaders won't answer with any substance as usual.
Seems no one has read this:
http://www.redhawkholdingscorp.com/wp-content/uploads/2015/08/Independence-Energy_10Q.pdf
Arguing technical analysis in penny land is like arguing logic with a newborn.