NanoTech Entertainment Inc (NTEK)

[2015invest]

Ntek was cash flow positive but it was not enough to pay the upfront cost of movie license of 950 good movies so it decided to raise A/S to get immediate fund and more to get the golden opportunity to get a good deal with Paramount. That doesn't change the fact that NTEK is still cash flow positive. There won't be anymore upfront cost until December 2016 for license renewal. By then these movies would have made NTEK millions many times over to cover the cost of the former license and renewal of license and other content and expansion in the future. It takes money to make money. Ntek spending big on content initially cost them alot but it will give back several folds in the short and long term. It also brings more recognition and solidifies NTEK's title the largest 4k content provider.