Liberty Energy Corp. (LBYE)

[SmallCapValueInvestor]

At first I had feeling similar to yours, but after further reading I realized that they are still in the works with Petro Fund. Once they get more funds from Petro to eliminate debt and fund future acquisitions financials will be awesome. People love getting into future mergers and acquisitions plays early, so give it some time for these early M&A buyers to search through the SEC database and find LBYE and watch people load up and tuck their shares away until LBYE becomes seriously profitable.

JMO

On April 11, 2013, the Company entered into a stock purchase agreement with Petro Fund 1 (“PF1”),a Houston, Texas-based upstream oil and gas fund, pursuant to which the investor agreed to advance up to $3,650,000 to the Company in multiple installments in exchange for units of the Company at unit price. The unit price means a price equal to the higher of either $ 0.05, or 95% of the volume-weighted average of the closing price of common stock, for the 10 days immediately preceding the date of receipt of notice from the Company for the advance of funds from the investor. Each unit shall consist of one share (restricted) of the common stock of the Company. The Company shall use up to $150,000 of Advances to extinguish existing debts, fund operating expenses, working capital and general corporate activities. Subject to the foregoing, the Company may use any balance of the Advances up to$3,500,000 to fund mergers and acquisitions (including related legal and, accounting expenses) or the purchase of capital assets, with any such Advances to be approved by PF1. No funding was received as of the quarter ending April 30, 2013.


http://www.sec.gov/Archives/edgar/data/1372336/000146970913000387/lbye10q_043013apg.htm