Ethema Health Corp (GRST)

[Bubae]

The thing to know about Shawn Leon is if he talks about a plan you can bet it will take more than a year to execute and by then it isn't worth much. It took a year and a half to close he deal on Ethema Health's 75% claim to the current treatment center. It took more than a year to close on the desperate purchase, sale, leaseback scheme and by then the debt went into default negating most of the benefit. That deal required Shawn Leon to personally guarantee the debt because Ethema Health (GRST) has no credit at this point. The regulation "A" offering was filed October 2022 and he still doesn't have his ducks in a row to make it viable.

They repacked the defaulted debt into this lease finance deal so what they were not paying on before , they now must on a monthly basis. You can bet that they are once again piling the debt back on while they try to figure out how they are going to persuade retail to buy into the regulation "A" offering shares. Without retail interest in the stock the offering is dead because those qualified to subscribe to the offering will also have no interest since they will have difficulty moving the shares.

Bubae
Re: None
Sunday, November 26, 2023 5:35:15 AM
Post# 49291 of 49598
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=173295585&txt2find=cash%2Bflow

Even after acquiring the cash from the crazy lease finance deal to pay a bit more than $2 million on the defaulted debt they still borrowed an additional $720K in Q3 and up to November 15th...

Cash balance at the end of Q3 after all of that activity was only $11,728. The cash burn rate appears to be very high and they have a ton of work to do to make that regulation "A" offering viable.