Here is a bit I found - if you are interested .
In the very first posting, I made early in the morning, I said most likely "they were confident early on and didn't want to give away lots of equity to raise VC money". Someone raised a question that if the founders are raising VC money now for their new venture, why wouldn't they do it then.
I thought about it and found the answer. I worked in Startups in New York from 1999-2008. Then I moved to LA in 2008. There was no Startup scene in LA that time. Few VC's in LA only doing Series A. Most LA based Startups were simply going to Silicon Valley due to lack of seed round VC's. The LA startup scene picked up steam in 2010.
Plus after the first dot com crash in 2000, seed investment in Tech evaporated. It started picking up steam in 2009 after the housing crash.
PixelMags started in 2009 in LA. It is possible that they tried but neither there were enough seed investors in LA NOR the timing was right.
Plus Startups are seasonal investment. They all invest like hoards. Right now, you could have the best App in the world but no VC is even going to listen to take your call if you just say "Apps". Social Media, Apps, Ondemand commerce seed investment are all dead now. You have to show enough traction and big numbers in all metrics and have the right network to be able to reach an investors to hear your pitch.
But if you have anything to do with VR/AR you are likley to get funded. Everyone and their mother is writing checks in AR/VR. That is the flavor of the month.
Back to 2009, in LA the only ones who were getting funding were e-commerce. So PixelMags had no chance to get funded then.
I just tried to connect all the dots for myself. Not trying to convince anyone.
I am totally convinced what is going on in here.
The key factor is the revenue numbers. I have reason to believe they have good numbers to show. Because if they don't, then the pps will collapse and a RS will do no good to them. Why would they go through all this trouble to have a pps of 0.01 and become a public company? Tey can't even raise money. If they sell any shres, it will go back to 0.0001.
Everything tells me that this will get a big valuation and after RS, uplisting they will do a secondary and raise few hundred millions.That is the sole reason why this is being done.
Fools argue to win, so stay away from them and still say Thank you.
Smart people argue to seek the truth and say "Thank You" when they find that they are wrong.
