Unless I'm misunderstanding your point, why do you think they financed it? They had several million in the bank and a huge - guaranteed - back-up line of credit from that hedge fund - either one would supply them with the 400k it costs for a machine.
VPC got machines on credit - and those were Husky machines. But I'm sure to do so, Visser's personal guaranty, or something from Furniture Row's assets, was on those financing docs securing the purchase. "Certified Liquidmetal Partner" or not, no matter how chummy their relationship may be, Austrian Engel is not going to play fast and loose extending credit to LQMT.
I just find it very interesting that VPC and LQMT are essentially competitors using - apparently - different machines to get it done. They certainly could have multiple Engel machines, but FOUR Husky machines means those were likely all that was used - at the time - for the volume they were doing as a start-up. It also tells me, in retrospect, that the demand IS out there, but VPC wanted to castrate LQMT - and LQMT shareholders - and grab it all. He was the proverbial deal with the devil, wasn't he?
I don't think we can get too far ahead of speculating big things yet with two machines, but I really don't think LQMT can get this going without doing their own manufacture. Anyone else notice the most significant part of the equation - a certified manufacturer - has yet to materialize? It's a big risk. The only way I see that materializing is if LQMT has several - not just two - machines, and at that point, I think LQMT would probably look at the debacle at VPC, the larger margins from doing their own manufacture and ask themselves why they'd want to sub that out losing control, margins, etc. It appears they have a ways to go, but in this case, one is better than two and you'd hope that if they go that route, and it was asked at the ASHM - that they didn't see themselves doing their own manufacture, but couldn't rule it out. It's clearly a huge financial commitment. Ask yourself this, though, if they said they were buying 10 machines, leased another facility, but had to dilute to do so (where else would they get the cash from?) - this is presuming a large order (big presumption) - then would you be unhappy about that? Hey, it's much better to dilute for that than keeping the doors open and lights on.
Did love the comment about a second machine to manufacture more giveaways, although the giveaways weren't made from the Engel machine.
Of course, in my opinion, the second machine was purchased to be put side-by-side so as the product comes out, it will morph into SHEETS (the caps are for emphasis, of course) of Liquidmetal. Also, I'm sure, APPLE has already bought THOUSANDS of these and put them in the Arizona FACILITY as they removed the sapphire furnaces and dumped those to rot and rust in the Arizona DESERT.
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