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They had another exhibit 99.2 that shows the full year numbers for Reachout
Undervalued is a tough call for a company losing money with a bunch of preferred stock awarded that can convert into a very large number of common shares. I'd really like to see that math, as it is very weird how they described it in the share exchange. Maybe they'll show the numbers in the 10Q.
@SF971 led me to the paragraph, and I believe I am incorrect as well (thanks for leading me to it). However, that is a very odd way of presenting a pro-forma financial statement. Every other one that I've looked at, the company sync'd up the FY ends for the various entities and presented the data for 2 full years. Having one company with 3 months with a header that says it's for the FY, and another company with 12, is just dumb.
OK, so Reachout itself had $4.2M of revenue and lost $1.2M from operations, $1.7M total.
That's really not better.
Nope. It says right above the $2.7M in revenue "Fiscal Year Ended December 31, 2023."
It's a public company. He didn't go public just to be public, he went public to be able to sell stock and raise money. I'm looking forward to the 10K that will show just how many shares of stock those preferreds will convert into, because it really looks like the legacy stock of YCRM isn't going to own a whole lot of his company.
I'm reading from the pro-forma sheets showing all 3 companies and the aggregate. Reachout, itself, did $2.7M of revenue for year ending Dec 2023. The other company, Redgear, did $4.6M. Reachout lost $975k, Redgar made $190k.
So, Reachout is losing money, $975k for year ending Dec 31, 2023 on revenues of $2.7M. Kinda different from the hype posted up around these parts. Balance sheet shows they're upside down on assets to liabilities, too. Redgear, who they just acquired at the end of the year, did make $45k on revenues of $4.6M.
Trillium got Preferred D stock convertible into 10% of the common stock, fully diluted. Dickson got preferred D stock convertible into 2.5% of the common stock, fully diluted. And the shareholders of Reachout get Preferred C stock convertible into 87.5% of the common stock, fully diluted.
Here's the wording of the 8K for the share exchange, and I'm not sure exactly how they intend to do this math to determine how much stock constitutes 87.5% of the common stock of YCRM. It makes sense that the shareholders of Reachout aren't going to share their company with the bagholders of YCRM's failed scams.
They're just trolls. Not a single one of them actually believes the company is ever coming back after over 5 years of nothing, not a single whisper. Their whole joy in life is getting a response from McToncat on the dribble they post. Such a sad, pathetic life.
It wasn’t faked. That’s just another con artist pumper lie. The amendment was submitted by the company to the NVSOS and it also included the name change.
Dude, the amendment with the RS was posted here and all over social media. It remains pending until they file another amendment that specifically says they're not going to do it.
Shall I find it for you, or are you intelligent enough to search this board for it?
So, you've been dumping the stock while pumping it?
Figures... it is just a pump and dump scam, after all.
The clearest indication of a pump and dump is all the con artists singing in a chorus about how those Chinese billionaires suddenly turned stupid and decided to merge their company into a scammy stinky pink shell and reward its bagholders with untold wealth.
The RS wasn't fake, it was in the same amendment that changed the name of the company with the NVSOS. It is still pending.
Just about every one of the IPO public investors redeemed their shares, leaving the founders and a few other service providers and insiders only. The redemption took just about all of the cash out of the treasury, so ANEW is starting out cashless.
On the LEAS side, the CEO controls the vote, and it is likely he’s going to mathematically do the RS he’s said all along he wants to do and award 99% of those RWOD shares to the preferred shareholders. He’s already taking 1.4M of those shares for himself.
On the expert market, the stock can trade, but quotes of the bid and ask cannot be made public, shareholders/investors are flying blind. That’s why volume essentially goes to zero.
They did a reverse split.
Anytime you’re ready to compare batting average, me calling out scams, you pumping the latest POS pump and dump scam, I’m ready. You know it’ll turn out I’m batting 1.000
It’s expert market. There is no level 2, no quotations, bid, ask, not allowed.
Nope, the RS is still pending until they file an amendment that specifically says it isn’t.
Yes, it does work that way. They’ll only include the things being changed in their amendment to the corporate charter. If they didn’t mention it, then the RS is still pending.
Yeah, yeah, I know you’d prefer a boiler room where you could pump this China hustle scam to the naive without the pesky truth being posted, but it ain’t happening. This is a pump and dump scam, no question about it. Multi-billion dollar companies don’t merge into scam stinky pink shell companies and hand over their ownership to its con artist pumper shareholders for nothing.
Nope. Still pending
Exactly. In order to rescind it, they’d have to directly say it. Not mentioning it simply means that nothing has changed with respect to the pending RS.
What a monumentally stupid thing to do, diluting the crap out of this stock before making it through the 10 trading day compliance period.
Those “newbies” best check track records, ready to compare anytime you want on the stocks pumped vs those I’ve called a scam. Bet I win.
It was filed with the NVSOS and posted all over the place here and on social media. Until they file something that specifies directly “we’re not doing a RS,” then it is still pending, and, no, failing to mention it when they changed the name back to the cannabis company doesn’t change it.
The last published O/S was just under 1M shares. They’ve traded almost 9M shares, and it appears to be dilution. If they’ve been diluting this stock when they needed to maintain their NASDAQ listing by keeping the bid above $1 for 10 days, they’ve screwed up royally.
This scam still running?
You know the scam, the China hustle, where they claim a multi-billion dollar mystery Chinese company is going to move into a stinky pink shell and hand over their equity ownership to a bunch of OTC con artist pumpers for nothing. This one now claims they had to change their name back to the cannabis company in order to file their overdue financials, the financials that will show that it’s not a multi-billion dollar company at all and will have to show who they gave those 1.6B shares to once and for all. Here’s a clue, they didn’t have to change their name back, they made that up as an excuse so they could kick the can down the road, all they’d have to do is show the corporate charter with the name changed to OTC markets.
Same multi-billion dollar company that apparently uses a virtual office in Canada and whose CEO apparently uses a gmail equivalent for his email address.
The RS is still pending, btw.
This is pure scam, and there’s no clearer indication than the chorus of con artist pumpers singing about their good fortune hoping they can dupe naive investors into buying their stock.
Nope, that was the 2nd 180 period, compliance is required this time.
Here's their first notification last March:
https://www.sec.gov/Archives/edgar/data/1402328/000168316823001754/sunshine_8k.htm
A multi-billion dollar Chinese company using a virtual office with a CEO that uses an equivalent to gmail for his email service.
Sounds legit.
This is a scam.
They're into that 2nd 180 day period already. They need to hold the $1 for 6 more trading days.
They're getting dangerously close to delisting. They have to hold above $1 bid price for 10 trading days, and this is the 4th since the RS.
BS. If the RS was no longer in play, they’d have to explicitly say it like they did when they changed the corporate charter to put it in.
As long as there's liquidity, there'll be shares to sell. They appreciate everyone's help in pumping out the shares.
You probably should read the actual agreement and proxy. There were convertible notes for RWOD, not LEAS, the CEO gets 1.4M of 6M shares, the rest of the distribution isn't specified at all. There's absolutely nothing about LEAS preferred shareholders getting convertible notes.
Because they can do the math and distribute the RWOD shares as if it had been processed. It was already approved by the shareholders (the CEO controls the vote) in 2021, recorded in the corporate charter and well advertised. The owners of ANEW (those preferred shareholders) aren't going to give you their company.
Oh, it's very legal. The company has been up front the whole way about the capital structure they intended. Why would you feel entitled to any stake in the company he and his co-owners built with their money?
They can distribute the RWOD shares any way they want. That’s the deal. They can distribute them as if the RS had been applied, as it was approved and included in the corporate charter.
So, essentially all of the IPO stock (and the cash in the treasury) is being redeemed, leaving the coffers essentially bare. Seems the common shareholders knew better than the $60M valuation crap on an OTC company trading for a fraction of that with nothing going on. The O/S when it settles will be 3.5M-sh, 9.5M-ish when they give the stock to the ANEW folks (dilution), and you'll have a company that hasn't done jack for a couple years with no cash to do anything with, even after the business combination, with 9.5M shares in the O/S at an unknown price. Right out of the gate, they're going to have to do an offering to raise cash.
NASDAQ investors pay attention to business performance. When they see the balance sheet of this combined company with nothing going on and nothing to do it with, they're not going to be lining up to get in on an offering and are going to laugh at the $60M "valuation" RWOD assigned to it.
Sorry, bud, but from the start the owners of ANEW said they were doing the 1-2500 RS. It was there in every financial document they published. That would have the effect of lowering the O/S to a little over 400K shares. When they merged in, they got just over 400K preferred shares that convert 100-1, meaning 40M shares. It was very clear to anyone who could read that the owners of ANEW were going to own 99% of the equity in the public ticker LEAS. And they should, they're the ones who started and invested in ANEW when it was private, they owned 100% of it and weren't going to give it away to the bagholders of a stinky pink shell company.
Only when the RWOD deal looked like it was going through did they say they no longer needed the RS, but they've never published what the exchange was going to look like. You can get a clue about that by looking at the CEO's portion of the 6M shares of RWOD, he gets 1.4M of it. The other preferred shareholders will very likely get the lion's share of the remaining 4.6M.