Next 90 days;
If EB doesn’t have the brokerage acquisition firmly lined up to close
- pro forma and / or
- audited financials for it then the acquisition doesn’t get done. So it must be 8k’ed with accompanying audits / pro forma and the math of
- how it’s being acquired. Remember this work ‘should’ have started in Sept 2020. Further delays closing it are not a good sign.
The Acquisitions already inside RELI are not going encourage new buyers. They are tiny rev’s and after the G/A of a public company’s expenses the company financials will continue to lose money.
My instinct tells me that EB will resurrect his Real Estate game possibly using the new NASDAQ listing as the reason why they couldn’t be done previously. Alfons Melohn owns the majority of the Real Estate portfolios and he isn’t a big fan of Ezra’s. Alfons son in law has filed a complex lawsuit that began with Melohns daughter’s divorce and dragged in Ezra as well as other parties to the real estate portfolios. The properties are tied up in the lawsuit, none of the properties will transfer or move will the case exists.
July 17 2020
Melohn v. Stern et al
Michael Melohn
JOHN DOES 1-20 (Fictitious Names), Eli Kuntslinger, Robert Kuntslinger, Sima Weintraub, Alfons Melohn, Akiva N. Feinsod, Yaakov Beyman, Ezra Beyman, Sy Stern, David Teiler, Aryeh Zaks, John Does 1-20, Akiva Feinsod and Rabbi Mayer Zaks
US District Court for the Southern District of New York
Judge Philip M Halpern
Nature of the case
Racketeer/Corrupt Organization
I believe the totality of these issues presents us with an over priced and over valued company.
Competition for House / Auto insurance is everywhere. Nsure is tiny in comparison with competitors better funded and more experienced in online marketing.
Reli requires large brokerage numbers to compete. If RELI enters the healthcare insurance market; the really busy season is 7 months away in Annual enrollment for under 65’s and Medicare- AEP for over 65’s.
12,000,000 of new cash will be burned up in the next 90 days. Then dilution funding starts. O/S will rise quickly. Ezra has proven to be greedy and unsophisticated when it comes to raising money. Shareholders will pay.
I don’t think RELI is worth more than $3 a share
