Replies to post #13266 on Blue Sphere Corp. (BLSP)

[MarcusAralius]

Look at BLSP's market cap. Do some research on what the Holland facility can generate for BLSP in one year's time. Do research on the 12 year contract with GasTerra. The math is pretty self-explanatory from there.


I see no reason why GasTerra or one of their parent companies wouldn't buy out Blue Sphere at some point during the span of this contract once the plant is operational. It would be a small dig into their wallet to reap 100% of the profits over time. If the plant/team meets their needs, it's an asset they're going to want. You don't just form a 12 year business plan with another company's executives if you don't see massive potential and trust with one another. Maybe they'll close down some of the less profitable plants and choose to expand elsewhere they see potential. It's a big world, but here we're talking powerful businessmen involved who have connections.

Blue Sphere had to dilute for a few reasons, nobody is disputing that, but let's not pretend this contract is non-existent. There is a huge upside from here. Plant construction has started. The company's future rides on the Holland plant alone. If it fails, they fail, but if it does well there is massive upside.

If AD is such a dying industry as some here have said, then it should be easy for someone to come in and take market share. A 12 year plan does not stop with a single plant with companies the size of GasTerra. Their distribution chain is massive.

[MarcusAralius]

Oh by the way, none of that even includes grants

http://bluespherecorporate.com/blue-sphere-wins-grant/
You may notice the date on the article. This is a plan made years back that is finally playing out.

If you're unfamiliar with why they got this grant:
https://english.rvo.nl/subsidies-programmes/sde


Also from that article, take note of: "in addition to potential revenues generated by the new facility under the SDE, the Company also plans to sell natural gas directly to end users


If that plant can crank out gas properly, we're looking at ($15 mil from netherlands govt grants) + ($5.5 mil from GasTerra) + ($1-1.5 mil from green certificates) + (end user sales) = about $22 mil per year, not including end user sales.


GasTerra sells wholesale, Blue Sphere doesn't need a team of salesman to do big sales. It's a lock.

[MarcusAralius]

Take a look at any website that measures GDP and see where Netherlands ranks. This is primarily where BLSP is selling and who they're selling to are major wholesalers (GasTerra) and the dutch government themselves (hence the grants).

The gas Blue Sphere produces has a broad distribution network now. It took them years to lock down these deals and set everything up, and construction is now underway.

[MarcusAralius]

Sometimes what companies have to do is not in the best interest of the shareholder but in the best interest of keeping the company afloat long enough to become stable and thensome. Most car companies have filed for bankruptcy at some point.

What you always have to be considering is the potential of something, not how much mud it's been slung through leading to now