Masterbeat Corp (MSTO)

[Dr Blunt]

There is really no new news to report on $MSTO other than the status of the CE removal/audit. That may take some time to sort out since CEO Josh made a few accounting errors whether intentional or not.

The two COC properties (Baird and Gulf) have a bunch of hoops to still jump thru.
Baird has the wetlands, CEO Josh bought lots 35/36 with the intent on building two homes and that did not plan out since you can't build on top of the wetlands without substantial remediation. So he combined the properties and now is stuck going thru the lengthy process of the wetlands work-around. Gulf (Navarre Beach) is a plot up for sale in hopes of finding a buyer in an overpriced and softening market. We see that as a 2023 mid Q2-3 flip with our fingers crossed on a best case scenario.

CEO Josh is basically out of money. He has been encumbering $MSTO with his outlandish self written compensation plan and then hijacked 30% of the SBQ profits. That left $MSTO with chump change for cash flow. Thus, he needs to square away the CE to Pink or nothing is going to move forward. The reason being he needs $MSTO pink so he can push off .0001 to Eric or some other greedy toxic lender then sell those shares into retail. We believe he has his hands in the pot on those cheap share give a way with a back end cash return.

It would be nice to hear he settled the REG A stock error and accounted for the difference in cash flow vs bank statement vs Q filings. This is is going to be a very slow process and our guess is a year or more out before Baird hits the MLS and Gulf gets an offer.