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The annual filing is late, yes, but not two years late. The extension for the 2017 filing was on 2/6/18 which means as of today it is around 8 months late, not 2 years.
you are entitled to your opinion, I disagree.
the details are in this post
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=144100139
I was kidding.
You come by here every so often with the same rhetorical question for no reason that any of can fathom other than to try to annoy people who are still invested here.
I'm just not sure why you even bother anymore.
It's not dead, it's just resting.
Did you sell?
Best of luck to you. Those are awfully small numbers for a trip one stock though.
They are required to release them in an 8K.
This is the quote from the 8K/A announcing the closing of the Platinum deal. There was similar text in the Red Rock 8K/A but the new auditors told them they didn't need to file the red rock financials separate. The only difference I know between the two is that Red Rock was an all stock deal, but Platinum was stock/cash.
"Audited financials will follow in an upcoming 8K within the required 75-day period following the closing."
https://www.otcmarkets.com/filing/html?id=12909646&guid=pz6ZUKI3pdzVS3h
75 days from 8/6 is 10/20.
I saw some 5th decimal trades, and there were a number dumps into the bid that I thought were probably discounted shares getting dumped.
There could be shorting too, if someone believes the noteholder will try to drive this down into trips, but this stock is so low right now, that even with the dilution coming shorting it is risky.
The noteholder still can't convert over 10% so right now 29 million shares would be their cap, so the risk/reward for shorting right now is pretty high.
Platinum Tax Defenders audited financials are due out on 10/20, I would expect to see the usual suspect pumping here ahead of that date, and maybe some shorting into that rally (if it's big enough) then some dumping into it in order to lower the price and cover. I'll look for a big conversion in about 11 days.
They will probably time the transfer for the 22nd or 23rd after the 8K is out, so that the share structure doesn't jump ahead of the release. If the 8k releases early (the 20th is a Saturday) then the 22nd almost for sure.
Basically the same thing they did with the conference call. Pumping starts around the 16th/17th, I'd look for uncovered short volume on those days up to the 22nd/23rd, then a bid share dump and cover.
I do hope the company catches them with uncovered shares prior to the quarterly. I would be dumb luck, but if they close a deal ahead of 11/15 and post the 8K and PR, and it's big enough, that would be a small measure of justice.
That's all in line with my expectations as well.
Will be interesting to see if there is any market reaction to the Platinum numbers. The company is required to release audited financials by 10/20, according to the 8K filed when Platinum closed.
either a notice of late filing or the actual filing is Due 11/15.
so far only 22K in conversions since the 100K note defaulted. So probably 85K or less left on that (we don't know the interest rate so I'll guess high).
Add another 145K over the weekend and that's what's left. About 240 to 245 K to include interest payments which will also be converted to shares.
It sure is funny how dead this board is when the noteholders aren't doing anything with the stock.
no dilution this morning so far, no shorting as it goes down, so very little in the way of activity. Just a little dumping into the bid.
Note 13 was definitely bought out or sidelined somehow. It was $330,000 by itself. So obviously it wasn't part of the 407k that was converted. There was one other note sidelined, the one that was set to mature in November must be gone since they said no conversions after Oct until Feb. I think that was 17 but that is from memory.
I think that those of us still here trust in the CEO's experience in banking, finance and raising money more than the experience as a movie producer.
I think that this company has been cleaned up so that it can be leveraged for some sort of reverse merger. I don't know what the company will be after that, and I don't really care as I believe the main thing is that it will be worth a lot more than the current market cap of $537,000.
I still believe Christopher Petzel will deliver in the end. People that are writing this one off already probably also believe Atlanta won the superbowl a couple years ago......
Does that mean you are done posting here? I'll almost miss you (except you won't stop posting here).
Also every stock you buy, ever, is a roll of the dice. The odds aren't always the same, and the risk isn't always the same but any investment carries risk.
Any objective analysis at this point says that the long term risk for a company with revenue over 5 million, and an OS of 600 million (projecting the end of dilution) that .003 and under is a bet with decent odds. But only if you are willing to wait.
All that being said, the pumping going on here is silly, and I hope people realize that those calling for immediate prices shooting to .01 or even anywhere near that, probably have shares in GTC sells around .003 to .004
An investor looking for something that can make them money without having to pay short term capital gains, will look at this much differently than you.
Take the friendly investors buying to help the company for instance.
But for what it's worth, I bet you are still flipping this. The volatility and guarantee that the volatility will continue for the next 4 to 6 weeks means the flippers are on this hard, looking for 2 to 5 ticks on dips and surges.
Also, see, you shorten up your posts and people will actually read them
Objectively the information in the call wasn't disastrous.
In the context of long time share holders (most of us bought our firs shares for multiple pennies) it was disappointing. Because for us to keep the same percentage of shares we own now, we will have to keep putting money into this, to double our share count. That's just to break even on the dilution.
That and the delist to pink hurts.
Your not wrong about the long term still seeming good though. I don't expect any lasting benefit from the audited Platinum financials that are due out 10/20, because the noteholders will sell into and crush any rally around that. But when the quarterly comes out in mid November the dilution should be over, and share structure should be stabilized for a few months. We should see an accurate reaction by the market to the financials at that time.
I hope the company does report this and the other noteholders to FINRA and the SEC.
They said in a previous PR that they were going to. The problem is that those agencies are grossly understaffed and underfunded, and have a hard time keeping up with the big banks and big boards, let alone having time to chase down crap down here.
I don't know, but I think that yesterday MAXM was shorting. They sat at the ask at .004 and absorbed millions of buys.
As for what is allowed in shorting, I know what Etrade allows, which is no shorting at all down here. But unscrupulous people find other unscrupulous people to do things that mutually beneficial if also illegal.
One very good thing is that the bottom being set at .0025 is still holding. MAXM being hit more right now. It will be interesting to see the regsho today as well.
I wish shorting were illegal, IMO it should be.
I read the first line this time.
No one is reading your posts all the way through. They are just nonsense. No facts, no actual history.
Just emotional rants trying to evoke a response in whatever direction is best for you.
No, the majority was actually shorting.
Regsho report shows 58% of yesterdays volume was short. There were 12 million more shorts yesterday than normal transactions, the deficit on Tuesday was 1.2 million and on Monday was 2.2 million.
I believe the noteholder circled the conference call date on their calendar, shorted what they could the days leading up to it, and I also believe that the millions in volume above .004 before and during the first 5 minutes of the call (before it went south) were all short sales.
I think there may be some covering today, as well as some actual dilution, yesterday I think was all short sales and retail dumping.
And all of that was just with about 22K in debt being extinguished. They can do this 10 more times in the next two months.
The company is trapped again, because any marginally good news that comes out, will be capitalized in this way by these scum. So, while I'll never tell people what to do with their money, I do think people have a right to know what is going on, so that they can be careful.
IMO This is an excellent and rational post.
Thanks for sharing your thoughts.
so you are recommending people wait for bottom so their dollars buy as many shares as possible?
That's good advice I think, but not what I think you really mean. A lot of us have stopped reading your posts because they seem so much like pumping, that they don't read as truthful or honest.
If I'm wrong, I apologize, but regardless you may want rethink how you post so that what you write will be read with an open mind by readers.
Because you post a lot, I assume you want people to read your posts.
ditto
Not accusing you BTW, you've been around here to long for me to think you are NOT guilty of this.
But I'll add to this. Beware of people trying to convince you to buy shares also, especially with a stock that is being shorted. Any post you read here (mine included) any rational person should try to see what the hidden agenda could be. When this board lights up with overly positive posts, not backed up by actual SEC filings, I'm always suspicious that some entity is trying to encourage buying of short sales at a higher price, so that after they dump their discounted converted shares, they can then cover as retail panic sells.
I've seen it happen here a number of time in the past few months, and it's happening again now. The smartest thing I can do (this is within my investment parameters) is wait out the dilution and try to buy at the bottom on the bid. It's what I did last time, when I believed the company had handled these notes that started to default last week already. now that I know they haven't I won't buy on the ask at all until I believe they are done. I'll sit the bid lower and let the noteholders come to me. But I won't help them scam extra money by buying their short sell shares.
unfortunately that isn't a matter of smart on their part or not.
They fired their old auditor, went with Malone and Bailey, it didn't work out and now they have new auditor doing this quarterly report for them for the first time. It won't be early, I'll be surprised if it's on time.
Also add to that that the new auditor has to get Platinum financials audited and released by 10/20. That is only 2 weeks. That is the also the fist date investors should circle in their CDIX calendar for good news, as the company has indicated those financials are trending up. If you want to know how I got this date 10/20 is 75 days from the 8/6 closing on Platinum and the 8-K said the financials are required 75 days from that date. here is a link to that 8k. https://www.otcmarkets.com/filing/html?id=12909646&guid=-F3ZUq5omGiYoth.
Also I did learn from the company that their auditors told them after the Red Rock 8K came out, that the financials were not required for that transaction. My guess (and only a guess) is that this is because that transaction was an all stock transaction whereas Platinum was cash and stock.
Well, I share you disappointment, and agree with a lot of your assessment below I think it's worth pointing out one major disagreement I have with you.
I don't think you'll take this as trying to pick a fight because it's not.
I don't think this is a share selling scheme. I don't think Alex and company at CDIX have now or in the past colluded to help cd noteholders dump their shares in the market. I think they are honest, and hard working but also naïve and inexperienced with the scummy neighborhood they have found themselves in.
If you look at the history of the convertible notes they took, the terms got worse and worse as the company fortunes declined. My biggest fear was, and now still is, that because they haven't lived it they don't know how fast really crooked bottom feeding noteholders can take down a company.
You, I and others had warned them for months that if they could not get the noteholders to allow the debt to be bought back they would have to start a buy back program. To their credit they had also considered and have enacted it in a way with their friendly buyers (there has to be more than just the gentleman who bought 30 million).
It's obvious to me the noteholders have people posting here, and other places to influence price. They were shorting heavily the last 3 days, and this board is now full of new people posting ignorant positive things.
I hope the company reads this post so they understand better what they are up against. Their friendly investors will need at least $550,000 to keep this stock out of trips, and they will need to be smarter with their money than they were yesterday. Noteholders only had 18 million converted shares, so a day with 82 million in volume is highly suspect.
As for whoever is shorting, I hope you read this too, and maybe decide to go away. The company has shown it has help defending it's stock, and they really are working on acquisitions. Just imagine if one had closed today, while you had only 10 to 18 million shares to dump into the bid to try to drive down the price, and were still holder 25 to 45 million uncovered shorts at prices between .003 and .0046. There are other places in the OTC with less risk to you than CDIX.
And how soon is that? 4 weeks, 6 weeks?
It's taken 2 1/2 months to convert 400 K of debt. Which has taken the stock from .025 to .0027 and from 49 million in the float to 256 million in the float.
So why is it good to say the next 200K in debt will be quicker? The float will double in the next 4 to 6 weeks, and the stock price will probably drop quite a bit during that time.
I'm not sure what you are looking for here.
I've been in the stock for a long time, I like the company and the people running the company.
You are new to this board, and acting like you think I'm bashing the stock or the company.
I've always tried to remain objective here. The call today had some decent content for long term, if they are able to follow through. A lot of use who have been averaging down for a while, were very disappointed about the state of things though.
The horizon for being debt free, is probably not soon enough to prevent a down list to pink. This is not good, not matter how you spin it.
The amount of debt to convert will probably double the stock from here again. For those who have even been in this since Jan of 2018, when the float was 35 million, the idea that it will 550 or 600 million by this time next month is a blow.
As for the 250K in volume, this is bad volume. This is not healthy liquidity. The regsho report for today showed of the 82,267,500 shares traded, 47,582,369 were shorted. That 58% short volume on over 82 million shares. This stock has been shorted by noteholders, then ruthlessly pushed down so they could cover all the while they also make money dumping shares they are getting at 60% of low close for the last 10 days. All this shorting tells me that someone is very confident they can get the price much lower than it is today, so they can cover.
CDIX management has done a good thing in finding friendly investors to buy up shares on the open market, try to absorb the dilution some, so I expect this be a sort behind the scenes war between how ever much money those investors have to commit, and the cd noteholders converting their debt into shares.
An yes, I know that not all the shorts shares in the regsho report are actual shorts, but I've been tracking conversions very closely and the noteholders has less than 2 million shares coming into today. They also already had 3.6 million uncovered shorts over the past 2 days, so they expected this, and had planned to make sure the conversions didn't hit until today. I, and others, call the TA regularly to track this, so I know these shares were not in the float yesterday at market close.
so I guess my answer is that it remains to be seen how this works out. The company still has much bigger challenges than we thought (many of us believed debt conversions almost over, because we thought that the company had headed off the notes not yet in default as of mid sept).
If the company announces and acquisition soon or tomorrow, I hope it's big enough to overcome the shares that the noteholders will convert and dump into that news. Platinum wasn't, and 7/12 was a very disappointing day for the company board and shareholders. Today felt similar.
I wish shareholders (myself included), Alex, Dan and Rollan all nothing but the best with CDIX. But the situation today is less hopeful than it was when we thought they might stay QB, and might have a third acquisition for the year to close in October.
As they stated in the call, they have cleared 407K in toxic convertible debt by converting shares.
So far about 230 million shares this year. A good deal of that at substantially higher share prices than right now.
The also took on a Form D a month back for a little over 100K also for debt restructuring.
They aren't paying any debt right now with profit, they restricting the debt with lendors on better terms or letting it convert.
The next 245K in debt they will extinguish will also be through conversions, which started with 18 million new shares today and will continue until it's done.
Yes, as they stated in the call today, their goal for this year was to add to companies per quarter. So far they have added 2 companies in 3 quarters this year. They stated that continues to be their goal next year. I hope they make it but...
Forward looking statements like adding 2 companies per quarter aren't worth repeating, when they've fallen so short so far.
It's good to have a goal though, but I think they should set that one to an attainable number, then raise it once they hit.
You know what, you are right. He's not. I went to recheck my source on that, and I misread the information in a private room elsewhere.
The 495 thing is still true though. almost all of us that follow this stock closely knew that deal was not going to happen. I'm sure this investor had conversations with the existing management to understand what the business landscape was before he went over 10% and became a restricted investor.
Only based on the a very short sighted measure. being pink for a few months this year and beginning of next year doesn't mean the company will not survive and thrive next year.
I probably means that the 3 amigos running it will need to accrue more salary, rather than taking it. It may mean that we lose some acquisitions near term. But it's not forever.
As long as the company can live off of revenue, and better structured debt going forward, they can rebuild from pink, back to QB, then up to some other index. That may take a year or two, but I'm guessing that is well within this investors timeframe.
I believe you are applying our more short term investment philosophy to his situation, and that is a mistake
We have an idea for red rock, and platinum audited financials are due out 10/20 so we will see them then as well.
We know that the company has been running at a loss from operations every quarter of their existence (with the last quarter being (395,839) and a net loss per quarter much higher for that same quarter at (603,869) and we've seen incremental improvement per quarter BUT..
We know that they posted Red Rock with an annual EBITDA of 648K as an estimate, so that would quarter out to about 160K. And That's not profit, just EBITDA. So that won't even come close to making the profitable, but the good thing is that Red Rock was all stock, so there is not any debt in that deal.
Platinum we don't know yet, but we do know they said the debt taken on for it would be serviced by it's revenue. It's unlikely there will be another half million in profit per quarter from that company to make up the difference.
So while we won't know the financials until we see them, we aren't totally in the dark here.
On the call (I'll paraphrase) they even admitted that while the current acquisitions are good, they aren't going to grow enough support their model. They have to have new acquisitions with higher revenues and profits to reach corporate profitability.
I think you misunderstand the investment philosophy of this type of investor.
He didn't buy 30 million shares to flip next week. He bought 30 million shares because he believes in the company vision, doesn't care about day to day or month to month prices, and thinks that by 2019 or 2020 his faith in CDIX will be vindicated.
the company can hit trips, go pink, and languish for months as long as the ultimate goal is reached, and he will be happy.
Most people that buy stocks in this price range don't have that mentality.
Also this guy is on the board. You think he didn't know 495 wasn't happening? Or that he could legally talk to anyone on iHub about strategy?
While I agree with the optimism you have long term, I think the near term here is going to be grim.
The failure to find a way to eliminate the debt is a huge issue. The 'volume and liquidity' mentioned on the call is all bad. Volume from dilution and short sales due to dilutive noteholders manipulating the stock isn't good for shareholders or the company.
In this case it will cost the company QB status, has already cost it an unknown number of acquisitions, and has burned a large number of positive evangelists for the company.
There are only two things to keep the bottom from dropping out here between now and November.
1. a surprise acquisition
2. continued support on the open market by friendly investors. This option will cost an investor about $500,000 to keep the price above .0025 (unless retail helps) through the dilution of the note that matured on 9/28 and the one on 10/9.
The most frustrating thing is that we just had an investor conference call to try to clear up the rumors, and it had so few specific details that I see more rumors than ever floating around.
I'll say this though, IMO these three guys aren't dumb, and they aren't incompetent or scammers. They are in a terrible situation, it may kill their company if it stifles growth from here. I do believe, however, that they are trying to find solutions and working hard. My main concern has always been that they aren't used to the stock market sewer, and won't be able to adjust their plans to the speed at which a company can be killed down here.
We've seen companies with 6 million in revenue go under, due to debt or lack of growth. They revenue they have probably can't even generate enough profit to completely cover the debt they took on to acquire it and pay operating costs, so they are still going to be taking on new debt just for operating expenses.
What he said is that after the note for 145K defaults on 10/9 there are no new notes until Feb.
So the 100K defaulted on 9/28, and converted 18 million shares today.
Another 145 K note defaults on 10/9.
Another 53K note defaults in November, but maybe that one is willing to work with them.
He said only about 210K left to convert, probably at a 60% discount off of low close for the previous 10 days. That means todays conversion of 18 million was against the .0031 low close 9 days ago, and was good for about 23K in debt and interest.
I think we see a close closer .0025 today, and the noteholders will definitely try to use their shares to push down the price for future conversions.
Even if the average low close is .0025 that would be over 210 million new shares in the few weeks.
We know they have friendly buyers trying to absorb the shares and prop up the price, but the discounted shares make that very expensive. In order to buy the 210 million shares at .0025 it would take $525,000. That is a lot money, for almost anyone.
IMO, unless the company pulls a miracle acquisition out of the hat in the next couple of weeks, this stock will go down, lose QB status, and possibly become an extremely attractive buy in the low teens, or even high trips. But right now the only reason to buy is to try to help the company, but at these prices, with this scenario, for me it's not a smart investment.
I will definitely buy more closer to the end of dilution (I thought we were already there though).
if the conversions are 60% discount, the 245K would take about 1/2 a million to 'absorb' on the open market.
My guess is that the people who have been doing it so far, may be willing to keep it up some, but that's a lot of money for a company that looks to be headed to pink sheets.
I believe The 210K in debt remaining already had the 18 million shares that hit the market today counted in.
There were two notes one at 100k and one at 145k defaulting on 9/28 and 10/9 respectively. From the call today, I gathered they were both with the same lender.
A lender who also appears to be happy to short the stock, prior to dumping, as there were a minimum of 3.6 million uncovered short sales coming in to today. My guess is a lot of the action yesterday and this morning prior to the dump were them shorting.
If the SEC cares so much about stocks like CDIX I wish they would investigate that.
an old song by Shaggy