Auto Parts 4Less Group Inc (FLES)

[Justjoe1979]

I don't know what will happen and what is likely attainable but if you count the 1M shares they just registered to sell to the institutional investor. Based on a valuation of straight revenue this should be able to get to around $6 9M rev / 1.5M shares. If they show they have a good game plan for future growth possibly higher. This also depends on how many shares are further added to the OS.

Their last PR stated they were trying to reduce the number of convertible notes and this new investor is on the hook to purchase shares at Market price with a 5% premium. So the higher the share price the better for retail investors.

According to the filings the investor can never own more than 9.99% of the outstanding OS and the company can only issue stock at market price to the investor for $100k at a time. This is further limited by the average dollar trading volume over the last 10 trading days. They can get a max of 3 times the previous 10 trading days volume up to $100K at a time.

At .06 $100K is 1.6M shares which is more than the OS let alone their limit of 9.9% which would be 150K shares if all 1M reserved were issued. Also over the last 10 trading days the average dollar amount was somewhere between $200-$600 so with the 3 times clause the most they can get as of today is $1800. So with this deal, it benefits the company, the shareholders and the investor the most for the SP to climb well above what it is today.

Sorry for the long winded post. There is a lot of info in that S1 and I want to make sure people understand.