Stervc & All,
As I mentioned earlier this afternoon I spoke to Graham for about 20 minutes before I had to rush off to a meeting. Before I summarize the highlights of our brief conversation I want to state that both he and I acknowledged at the outset that he was limited in what he could disclose due to REG FD and therefore politely declined to answer some questions. That being said the following is a summary of our conversation based on notes I made:
1. Current Revenue - Graham stated BEDA is currently generating revenue, although at a reduced rate, through billing for other entities.
2. Texas Mobile Health - I mentioned to Graham that shareholders are obviously awaiting the closing of Texas Mobile Health. He acknowledged shareholder sentiment and emphasized it is BEDA desire to consummate the acquisition as well. I asked him in general terms about the delays and without him going into detail I got the impression that they are nothing serious but rather have just arisen in the normal course of business (complexity of getting all the lawyers, accountants, etc. on the same page to move forward). As a follow up I asked Graham how certain he was that BEDA would close the Texas Mobile Health acquisition and his response was "99%." He confirmed the acquisition will be financed entirely with BEDA stock. He also confirmed that Texas Mobile Health currently is run out of the current owners' personal residence.
3. Dilution - Not occurring. I confirmed with the T/A earlier in the day (see one of my previous posts) as well as with Graham in our conversation.
4. Profitability - As per the 3rd quarter results the company had an operating loss of just under $50K. Graham seemed confident once the Texas Mobile Health Acquisition closes that Bederra will be generating profits. I inquired about the margins in that business and he politely declined to comment at that time.
5. Closing of Clinics - As detailed in the press release, the recent change in Medicare reimbursement structure rendered BEDA's clinic business an unprofitable one. The economics of the business simply didn't make sense and therefore the decision was made to close the businesses. The owned equipment was sold and the leased equipment was returned to the leasing company.
6. Market Opportunity - Graham mentioned to me the magnitude of the opportunity available to BEDA just within the Houston metro area alone. He stated that with access to the proper financing he could build BEDA into a $100M in revenue per year company.
7. Current Share Price - Graham made several general statements to me that indicated he felt BEDA was seriously undervalued at the current share price. I asked him point blank if he had any ammunition to change that and he stated, "watch for press releases."
8. Spacecityrocks Comments - Graham was aware of the "bashing" attempts of Spacecityrocks and he vehemently denied knowing who this individual is and mentioned that he only employed a couple of male employees as "part-time" techs. He feels we will see much more of this type of poster in the coming weeks as MM's are forced to cover due to REG SHO requirements.
These are the facts of my conversation with Graham Williams CEO of Bederra Corp. based on the notes I took during our brief conversation. My personal opinions to follow in a subsequent post. Thanks.
