Buzz Technologies (BZTG)

[Our-Street]

Something to ponder for the weekend.

I have said this company is a total scam and that any revenues generated by the company are being diverted to Shayne's personal interest. I have further said that Shayne is a seller, not a buyer of the stock and that he will continue to refuse to provide audited financial statements or take steps to prove he isn't the biggest seller in the stock.

In response, it seems, all Shayne wants to do is talk about how the company is growing while ignoring any serious discussion of audits, IPO's or HK listings. Since I believe all his PR's about growing the core business are so much BS, and since Shayne isn't about to provide anything resembling proof, I will offer one new piece of evidence that supports my contention.

In the past, the company announced a buyback of stock at $.07. That turned out to be nothing more than an attempt to pump the stock so Shayne could dump into it. However, putting aside my skepticism for a moment and looking at pure business sense, there is plenty of reason now for the company to start buying back stock. Excessive stock is dilutive to the shareholders interest and Shayne is the biggest shareholder around. The current market cap of the company is $1.2 million. That's a pittance for a company that is what Shayne represents BZTG is but a lot more than an empty pink sheet shell would be worth in today's market.

I'm sure Shayne would claim that BZTG is actually worth say $20 million or more right now as an operating entity. Since the company has all this profit and cash flow, the only intelligent thing for the board to do is to authorize the purchase off the street any stock below say a $15 million market cap.

It would be so easy, the company (not Shayne) could just start taking up the bid, a little every day. When the bid reached $.02, the market cap would be less than $6 million because the float would be lower. This would benefit the shareholders on an immediate basis, as well as giving them a better shot for the future with a greatly reduced float.

Any REAL company would be doing this right now, it is the only logical thing to do. You sell shares to raise capital when the stock price is favorable and you buy back shares when they are worth considerably less than the actual intrinsic value of the company. Assuming it's worth anything approaching the $300 million Shayne claims it is, or even $20 million, the company could be taking a little (and it wouldn't take much) of that cash that's rolling in and be buying back pieces of the company at below garage sale prices.

So, why isn't Shayne doing it? I think we all know why. The same reason he refuses to provide audited financial statements. Because the company isn't worth half the $1.2 million the market represents today or it has no cash after Shayne takes his cut. Those of you who are members of the "Friends of Shayne Heffernan" can decide which it is.