My statements were 100% accurate.
Quote: The principals of the company invested a lot money for development of the product in 2008-2011 while proving the concept of “chewable” energy. This was before it was a public company. The product has gone through many revisions to get where it is today. I have tried it. It works well, is less expensive, and it sells. They have raised a lot of money through friends and family as well anywhere from .20-.30 with warrants exercisable at a dollar. All of those investors are long term holders. I am sure I can get some investors that you can talk to if you like. They aren't going anywhere and I don't see a bankruptcy in the future. This isn't a short term flip stock, it is a company that has a bright future if the investing public follows it, supports it's growth with using the product, and asks questions when they have them.
Response: In your previous post it was stated Livewire has invested millions in the company. Your revised post above has been modified to state "a lot money". You state all those investors are long term holders yet NOBODY can predict how long anyone holds onto a stock. Your not seen a bankruptcy in the future does little to comfort the company having NO CASH, as reported in their most recent 10Q filing.
Quote:
The principals didn't have to give up their super preferred stock, they did it to improve the structure of the company. If you look at the filings, they haven’t filed form 4’s registering any of their stock so there is NO dilution.
Response: Form 4 has nothing to do with registering stock for sale. Further, even if they had registered their stock for sale, that would have NOTHING TO DO WITH DILUTION. The preferred was surrendered because it should have never existed in the first place. The promoters smartly had the principals get rid of it.
Quote: The stock in the float is from the merger group and that is fine since the only other way of getting access to public capital markets is a full blown s-1 underwriting and that can’t be done without $25 million or so in revenue. This was a less expensive way to be able to raise growth capital to build the company.
Response: Not sure where you get your information from. Companies with limited or no revenue file S-1's all the time and go public. There was no prerequisite for Livewire to have $25m in revenue, or anything close to it, to file an S-1 to go public. Giving up 40% of your company to go public is CERTAINLY NOT a less expensive way to go public unless you're valuing your company at $200,000, which would place Livewire shares under a penny at appx .003.
Quote: There won’t be huge piles of cash in the bank unless they raise a significant amount of capital at one time because the principals aren’t going to just deposit money in the bank to show a positive balance. They make the deposits as needed to fund what needs to be paid. No executive salaries are being paid, only the light staff needed to pack and fulfill orders and sample in the field.
Response: If you are correct, it appears the principals are forced to dig into their own pockets and piecemeal funds to keep the company afloat. With such spectacular news and sales coming, as youve stated, why havent they been able to raise the appropriate capital from investors?
Quote: The new brokers that were hired have brought in several orders since the beginning of the year and the company has built a significant amount of inventory so they don’t have delivery problems.
Response: Are you telling telling this forum a company with NO CASH is building significant inventory to meet their $17,000 in sales demand last quarter?
Quote: You can either buy into the product, concept, and plan of the management team or go find something else to invest in. You can find the product at retailers, talk to the management, study the filings and see that Livewire is doing what is necessary to grow the business.
Response: Oh, I have studied the filings and plan of the company. Most recently in I read in the 10-q the following:
"The Company has a net loss of $280,876 for the three months ended March 31, 2013, and has an accumulated deficit of $2,965,871 as of March 31, 2013. The Company has not yet established an adequate ongoing source of revenues sufficient to cover its operating costs and to allow it to continue as a going concern."
The company is not doing what is necessary to grow their business by diluting their shareholders tremendously giving away a substantial portion of their company to promoters. Having an insufficient amount of capital to operate, develop and market their product is not my idea of doing what is necessary.
Posting on a message board that everything is great does not compare to reviewing the companys history through its filings, its declined share price, its lack of any capital to operate the company, the managements decision to massively dilute its shareholders with stock promoters shell, the managements inability to generate sales to even remotely approach the salaries they pay or accrues to themselves.