Avvaa World Health Care Products Inc (AVVH)

[supertramp]

The original funding, 10-11 years ago was raised by issuing convertible debentures, which at the time worked out to about $.50 Canadian per share. The trading price reflected that conversion price. Jack was suppose to have additional financing to the tune of several 10's of millions of dollars. That never happened. Jack made annoucements about distribution agreements that drove the price up to $.60-.70. Those distribution agreements never amounted to anything. It has been difficult getting info out of Jack as to what has happened over the next few years, but I think he was forced to use treasury shares to raise funds and I think some of the funding partners were instrumental in running the company into the ground. They did run some ads in national newspapers a few years ago, but I suspect that did not result in significant sales. Not only has the share price gone from $.60-.70 to what it is today,there was a 100:1 reverse split a few years ago. Alot of people have lost money on this over the years.

Jack's current marketing plan seems to be the most cohesive he has had, but funding is a major problem. If sales do not start to pay for the marketing initiatives and other costs, I can't imagine where the money is going to come from other than issuing more shares. Of course because we have not seen financials, we do not know what the revenues are.