To clarify 1 point. I am not invested in BCRL and based on the filing I read, they never did a stock-placement. Comes to it that the stock is not yet trading so I do not exactly this kind of post. The money they received was in loans - based on their last filing - so what would be the purpose to inflate a stock if the lenders have no shares and their committment is not linked with shares? This would only make sense if you do a RegS placement, which - according to the filings this never happened.
Why do I react to this mail? Well I do know Odebrecht ery well and I know the background of this deal which was signed in fall 2011. The contract was cancelled in spring 2012, because BCLR could not come up with 40 trucks to fullfill the contract. Based on my knowledge, there are no open bills for fuel, insurance and payrolls.
What went wrong: BCLR had a committment for a round of loan financing which would have given them enough room to partly purchase and lease or rent 40 Trucks, which of course was an integrated part of the Odebrecht agreement - visible in the filings as well. But instead of receiving money every month - they received only 2 payments but only 90 % of what was supposed to by paid. Well, it is the obvious that with underfunding you cannot fullfill the contract and Odebrecht was informed about this. The only blame you can make to the management: Never ever sign a contract before you do not have all funds in the account. What is left from the story: Not much, no harm - and BCLR starts actually at ground zero but hopefully this time they sign, if and when the promised amounts are in the account.
