CEO called me back earlier today. I called him last week but we were having trouble coordinating our schedule. Spoke with him for about 40 min. As usual he was very nice and generous with his time.
He gave me permission to share my conversation with everyone (he said any conversation he has with a shareholder he considers public anyway because he doesnt discuss or disclose 'non-public" info on a call with shareholders). A couple things I thought I should share, he said hes aware of some people attempting to disparage the company by spreading misinformation and if it continues he will have legal take a look at what steps should be taken if any. This tells me he and/or his team are watching all comments across all social media and forums. He said he will be putting together a series that will help educate shareholders on the capital markets as it pertains to UATG and what they are doing. He said he gets the sense that many shareholders are getting their info from people who are either intentionally misinforming others or simply dont know themselves. He wants shareholders to know the truth and decide for themselves. He is not sure when he will begin that series. I thought that was very cool and I offered to help if he wanted. I doubt he will take it but who knows.
He expects 2019 to be submitted to OTC this week followed by 2020 either later in the week or early next week. Legal opinion will accompany 2020 fins.
He has already pulled all banking and accounting records for Q1 2021, for UAT and UATG. All subsidiaries will begin reporting financials to UAT Group's CFO right after UATG has completed submitting all disclosures through 2020.
As soon as OTC signs off on fins and they are current, audits will begin. He "anticipates PCAOB audits to go relatively smoothly" because internal audits have already concluded for most of the subs. This was great news IMO.
He would not confirm a time-frame for S-1 yet. He needed to speak with auditing firm after they have seen everything before he would update his timeline. If I had to guess, S-1 is not going to be submitted in June because audits take time ( I estimate audits on 6 companies to take 3-5 months depending) so expect S-1 to be submitted in Aug/Sep IMO. I confirmed with him that S-1's are running 3-4 months on average. My guess is that UATG gets S-1 approval in Dec/Jan which makes sense considering CEO has said NYSE application might be submitted in Q1 2022. No one submits application to exchange in Dec so they will most likely submit Jan/Feb IMO. personally I think they should submit end of Jan and go NYSE in Q2. More money available from institutions before summer breakout.
I asked about revs of subs and he would only confirm that revs will be in Q1 but I get the sense that the bigger numbers will be in Q2 because some contracts are not live or inked yet. He said he was very optimistic about EOY and even more so about 2022.
When you speak with him about business and the future of the company it becomes clear that he is playing chess. this is a long term plan and its big! I asked about more acquisitions/partners and he confirmed that they are considering others but he would not confirm if any others would be added this year. I get the sense that the answer was yes here but who knows.
I asked if they have funding lined up and he said he has engaged several sources but would not say anything more. Again, I get the sense that the answer here is yes. He wouldn't be moving forward with all this if he didnt have everything ready to go. I asked how much they were seeking in a "Round A" but he wouldnt give me a specific number. I threw out a few numbers and my guess is that they are going to do a Round A and Round B that are most likely over $50M each. Thats just a guess based on my conversation with him and how many subs they have.
To me it seems like they have things under control and the time-line makes sense.
Speaking with him it is very obvious that H2O Processing is the big one and he expects big numbers from them. Bacter Scientific is the next one in line for big revs then Ossifix. The market for Ossifix is huge apparently. UAT is not really going to be bringing big number like H2O Processing until next year. he said UAT will be ramping sales up this year and will grow exponentially next year. He confirmed that the revs for Hygieia Skin are growing daily and the numbers have surprised everyone internally.
I asked if he saw UATG as a billion dollar company and he said he has always seen it like that but he expects it to be realized in the future. I asked when and he wouldnt say. He did say he was in the middle of a 5 year plan so my guess is that he believes UATG will have a $1B mkt cap within 5 years. I tend to agree with him, especially when you consider the multiple this company could be trading at in just over 1-2 years!
I wont type everything up here but they have a lot going on and a lot is headed our way this year. A lot has already happened and we are still only in Q2! This guy is going to deliver IMO.
