Waveduke: While I agree having a back-up plan is a good idea--your insurance analogy is a good one--my issue is Solms's consistent statements that he thought Wave would need no further funding in the foreseeable future.
Here is what he said to shareholders and investors on Nov. 6th: "I am not presently looking to do a capital raise." Then, just 11 days later, they apply for a $15M shelf registration. Did something happen in those 11 days to change things? If so, why not explain the apparent contradiction and change in plans?
You think Solms has not proven himself untrustworthy yet. Neither do I. However his statement we'd see signs of a turnaround by the last two quarters has not come true yet. We still have about 5 weeks left in the year, but no signs so far.
Perhaps I am overly cynical, but I find it hard to believe on Nov. 6th he did not see any need for raising capital, but 11 days later he did, and didn't think shareholders deserve an explanation for the apparent contradiction.
As far as not using any of the shelf registration, Wave has used every penny of every PP, ATM and at least two previous shelf registrations. How else will he keep the lights on with no sales, unless he uses the shelfie?
I am not calling Solms untrustworthy yet, but I think these two rather small points should be noted, given the history here. And unless he has a rabbit up his sleeve with a few million, I wonder how in the world he will execute on his latest promise for Wave to be cash flow break-even by New Year's Eve?
So far, not a single sale of significance since he came aboard more than a year ago. The latest quarter, Q3, was about as bad and bare as it could be.
Maybe you think these things don't matter, but I suspect those whose portfolios contain a large portion of cratered Wave shares would disagree.
Rather than giving our trust blindly to another Wave CEO, it seems prudent to keep him on a short leash and require him to be accountable for his statements. If we are not CFBE by year's end, I will have my answer.
Blue
