Monday, March 10, 2014 7:43:28 PM
I will agree that Livewire got APRU for much cheaper than I anticipated. 5 million shares isn't terribly bad dilution for LVVV holders.
APRU on the other hand, is going to be screwed for a while. I'm not sure why everybody on that board is so hyped up for pennies or dollars now. Do they realize that they now have 12 billion shares outstanding? Whether or not Livewire ever intends to sell any, a dollar per share is absolutely unattainable. Why would that company ever be worth 12 BILLION dollars any time in the near future? Even cracking 1 cent a share, at 120 million market cap, will be a stretch. I have nothing against Livewire's marijuana chew idea, but there are many other mj stocks that already have more legs in the industry that aren't even worth 120 million. Livewire just bought 60% of the company for basically $500,000, valuing the company at a little over $800,000. Yet the stock is trading with a current market cap of almost $8 million. As usual, the head man (Corr) gets rewarded while common stockholders get screwed. They apparently just don't know it yet.
There's still the issue of all the debt APRU holds, though. I'm guessing LVVV will be paying for that since they got the shell for only a $800,000 valuation. For that I'm guessing LVVV will be issuing another 30 million shares to clean up. That part sucks for us. This stock needs more volume if they're going to be able to dump that much on the market without it tanking.
APRU on the other hand, is going to be screwed for a while. I'm not sure why everybody on that board is so hyped up for pennies or dollars now. Do they realize that they now have 12 billion shares outstanding? Whether or not Livewire ever intends to sell any, a dollar per share is absolutely unattainable. Why would that company ever be worth 12 BILLION dollars any time in the near future? Even cracking 1 cent a share, at 120 million market cap, will be a stretch. I have nothing against Livewire's marijuana chew idea, but there are many other mj stocks that already have more legs in the industry that aren't even worth 120 million. Livewire just bought 60% of the company for basically $500,000, valuing the company at a little over $800,000. Yet the stock is trading with a current market cap of almost $8 million. As usual, the head man (Corr) gets rewarded while common stockholders get screwed. They apparently just don't know it yet.
There's still the issue of all the debt APRU holds, though. I'm guessing LVVV will be paying for that since they got the shell for only a $800,000 valuation. For that I'm guessing LVVV will be issuing another 30 million shares to clean up. That part sucks for us. This stock needs more volume if they're going to be able to dump that much on the market without it tanking.
