Supurva Healthcare Group Inc (SPRV)

[LoanRangerTX]

A Math Problem?! I love Math!

First, thanks for posting links to proof. Its always helpful.

Second, thanks for pointing out its Franchise Tax, not a straight corporate tax that Delaware charges a flat 8.7%. I didn't see that in my original post.

https://investorshub.advfn.com/boards/read_msg.aspx?message_id=145490599

Alright to the Math!

So using the State of Delaware's Calculator:

https://corp.delaware.gov/frtaxcalc/

I agree that they would have to use the Assumed Par Value Capital Method. Otherwise just based on the authorized share method they would have a tax of 200k.

So using the excel sheet at https://corp.delaware.gov/taxcalc/. And using the total authorized shares found in the Filing with the assumption of Par Value in the filing:
COMMON
20,000,000,000
.0000100000

PREFERRED
150,000,000
.0001000000

So now we have to guess at Assets and Issued shares... Of course this all assumes they have assets to begin with. If their Total Gross Assets equal zero, then their corporate franchise tax would be calculated based on Delaware Tax assessor educated guess...

So I used the last Issued Shares that the TA sent me at 10,897,583,640 plus 150,000,000 of preferred stock. Sadly using the excel sheet I have to put in a "total gross asset" value of 77,000,000 to get the assessed tax due. The only way to get 140 million of "asset" value is to say that they did a full dilution of 20 billion shares and that another 9 billion shares are going to hit the market....

Which to me would say that this company isn't going to be a 2019 best pick.


Lastly, I would like to point out a few things that don't quite add up in this "assessment".

When doing the math, Delaware shows that the companies par value of the stock is 0.00001.... Four zero's not three which is the lowest price that someone can buy this stock for. That means that the company basically is saying that the "common" class stock will always be valued 10 times less then what someone can buy it for. Meaning that every time you buy one share of the company, you have lost 90% of your money. Per their assessment of their own share value. This frightens me because they issued shares to buy Web To Door, and if that's true then how could SPRV issue enough shares at 0.00001 price to cover the buyout?

Finally, Delaware is taking a guess at the tax. Web to Door will have to actually file their assets when they pay their taxes. This guess could be based on similar logistic start up companies, or an valuation of stock. The asset valuation comes from U.S. Form 1120, Schedule L which Web To Door hasn't closed their books for the year, and haven't filed tax forms yet. So Delaware is taking a guess to issue a bill, and awaiting information to adjust their taxes.