I totally agree with what you are saying. Sometimes when you post something you just think you are getting the main point across but are not so ill explain.
We all know this company got pumped from the newsletter so the 160 million dollar valuation is bogus, but yet people still bought the stock up based on the idea and much less sales than we have today.
I think the dilution clouds peoples judgement as to what is going on here. Essentially 4 billion shares (rough number as 8k is delayed) is a lot of shares but at such a low price per share the current value based on the stock price (not talking about what the company may or may not really be worth) is about 400,000 dollars.
Right now there are numerous companies trading with way higher market caps with ZERO sales, and in my opinion less potential. So what I did is said , assuming they can fix the balance sheet what could the potential valuation be and I feel it would be between 10-20 million.
In working the numbers the current valuation is so low that someone could buy a major stake, put in the money and make a good chunk of it back just in the increase to normal valuation. This is rarely the case in turnaround.
Example - Potential investor buys 400,000,000 shares cost $40,000. I use this number as it is roughly 10% after which he could by more but would be a reporting shareholder due to ownership.
He then puts in 3 million dollars (rough number) to take out convertible debt) and 1 million in working capital. His 400 million share stake could then be worth 4-8 million dollars (essentially all the money he put in). Mainly because it is trading at such a huge discount to a normalized market value based on sales that this is possible.
Other people must see this, this is what i am counting on. WE know Typonex was up to 10% with the filing a few months ago, maybe a workout is in progress.
I have not spoken to the fellow that met Bates since my initial contact but ill shoot him a message.
