Really? "an established direct store delivery food distribution company with thousands of end-use buyers through its chain of customers to which it distributes, including supermarkets, chain convenience stores, delis, pharmacies, specialty stores and the like in the New York City (“NYC”) metropolitan area marketplace (the “NYC Market”)" needs "financial backing (is) to support expansion, distribution infrastructure, salesforce, (and) marketing"?
And where does Taug, a company that has yet to report nickel one of Revenue, get the money to give to the established direct store delivery food distribution company with thousands of end-use buyers? It goes to the same old toxic creditor that "helped them out" in the past, GS Capital Partners.
This time they hit them up for $280K cash money.
In return they owe $300K at 8% interest. OR GS can convert any part of the $300K into TAUG common at 68% of the lowest daily VWAP of the Common Stock as reported on the National Quotations Bureau OTC Markets exchange for the fifteen (15) prior trading days...which is basically 32% less than the average that the public paid in the prior 15 days. And virtually assures GS a healthy profit and TAUG shareholdersa nice new heap of dilutive shares outstanding.
He sure takes good care of his Rolodex pals.
I guess the "non-exclusive distribution agreement with IRM Management Corporation" in South Florida required them to add staff and buttress their balance sheet too, because they got a little cash and a short stack of shares as well.
All for the privilege of offering me-too gum to its customers.
But that's not all!
They tried to pay off a note and the holder said they would take shares instead. So for $62,000 that they got in January they gave up shares that can't be sold until next January. If they could be sold at the current market price they would be worth $180,418.54. If TAUG had waited until next January and simply paid off the loan it would have cost them $62K plus 8% interest or $66,960. Next time you see Mr. Shaw you might ask him why he didn't do that.
And he wasn't done.
Last week he offered a private placement to certain investors "at a per shares price of $0.06 (“Six Cents”)" "resulting in aggregate gross proceeds to the Company of $335,200".
We don't know who he sold those half price shares to (cue the Rolodex) but we do know that he had borrowed another $300K just a month ago. That's $600K in a month, raised at desperation level prices and at a high cost to shareholders.
If you can justify that, please do.
But can it core A apple?
Yes Ralph, of course it can core A apple.
