Bravada International Ltd (BRAV)

[thatguy157]

Ok so here is my theory of the 30 mil shares. I have been following Bravada for a very long time. As I look through my personal notes about Bravada I see the 30 mil recently added to the OS as very strange with the way Bravada has done things in the past. So if you looked through a previous post of mine of what the alternative of 504 note I expressed some things it could be. As I explored all of these scenarios I came to a logical and explainable theory of the 30 mil shares. Researching my second possibility of the shares I researched the lawsuit from Green Leaves in Milwaukee, Wisconsin. I got a hit on something. Here is the link to the court case and an exert from the Q3 financials……

http://wcca.wicourts.gov/courtRecordEvents.xsl;jsessionid=FD8638BA838F342D27DBF008C41F580C.render6?caseNo=2011CV014383&countyNo=40&cacheId=A95A228CCD6B43D5FE55836657E50616&recordCount=1&offset=0&linkOnlyToForm=false&sortDirection=ASC


On September 7, 2011, Green Leaves filed a complaint against the Company in Milwaukee Superior Court for the amount outstanding of $40,000.00. The Company (BRAVADA) decided to take certain options reflected in the conversion agreement to pay out the amount owing in cash and not in Company stock as the BRAVADA did not believe that issuing its common stock to Green Leaves was to shareholder’s best interests. The Company believes that the matter will be resolved amicably as discussions between the Company and Green Leaves and currently underway.

Now I believe the dates are about right in line for the OS increase. I believe we settled this lawsuit with the 30mil shares. As it states Bravada did not want to pay Green Leaves in cash. Now I ask myself why would they not want the cash. It is easy, they wanted the shares. Why would they want the shares instead of cash? Well research when Bravada last used “Green Leaves” for funding. You have to go back to the 2010 annual report. The dates they were issued were as follows from the 2010 annual …..

01/04/2010 Green Leaves Group, LLC Issuance 15,000,000
01/22/2010 Green Leaves Group, LLC Issuance 10,600,000

Now if you look at the volume between Jan 4-2010-22 Jan 2010 funding you will not find typical dilution “dumping.” I believe this is the one funder that made a killing on their 504 from Bravada. Because shortly thereafter Bravada hit its year to date high of almost .045 less than 2 weeks after the shares probably cleared (3-5 business days). Why else would Green Leaves want shares instead of a cash settlement? I am not saying these shares won’t hit the market. But I do believe we are not dealing with a typical “funder.” They were willing to go to court for the SHARES not cash. If it was quik money they were after they would have taken a cash settlement, the wanted SHARES. Now why would we settle a 40k lawsuit (plus all penalties and accrued legal fees over time) with 30 mil shares? Back in 2010 when the original issue to Green Leaves the PPS was sustaining over a .01. The cost of fighting a legal lawsuit in Milwaukee could be very costly and keep DA away from the stores when so much is going on. What happens if we accrue the cost of a lawsuit and lose on top of that? We would have to give them shares, pay our legal fees, pay there legal fees, and keep our CEO away from our expanding and operating our company during the busiest time of the year. If anyone here has a business then you know that the majority of lawsuits get settled in mediation. This information cannot be verified until we get an update by the court system (link provided), hear from the company, or wait until Q4 financial statement is released. But if I am right that at least clears the books up al little. At some point the shareholder debt will have to begin getting paid back.

Now if my theory is correct then that means a few different things. 1) Danny did not need to sell 30 mil shares for operation purposes 2) This lawsuit is behind us cleaning that aspect on the Q3 statement 3) Business is still accelerating as DA would rather settle the 30 mil shares now before Q4 numbers start getting more interesting thus increasing PPS for the lawsuit to be more costly. Now this is all my personal opinion of what is going on with the 30 mil shares. Follow my links and information I have provided and draw your own conclusion. But if you read it from an unbiased view it makes some sense. I am not saying these shares will not hit the market, I am saying that this was not dilution to currently fund the company in the middle of Q4 for operations, hence I believe we are operating close to profitability. Why would the funder want the shares and not cash immediately? For the same reason I am trying to get 30 mil shares of Bravada........... GLTA GO BRAV = IMO