Replies to post #45078 on Global Digital Solutions Inc (GDSI)

[PhenixBleu]

Not bad for a company that couldn't afford to acquire Rontan. Let's see if the Judge agrees with BSFs damage request. Then we see whether GDSI will disclose how they plan to collect any money or shares, and their estimated timeline for receipt.

[PhenixBleu]

Does your calculation include Rontan's existing tax liability? You note "including legal" but not "including taxes owed."

$292M after liabilities paid (including legal) is at least $250M.

[Eddie T]

With all due respect FD, they aren’t getting a $292m payout. It will be, assuming all damages are awarded, the ownership of the company ($100m) and a $192m credit for which payments to Rontan, agreed upon in the original SPA, can be subtracted, no? There shouldn’t be a ‘cash’ award, unless I am interpreting the requested damages incorrectly....

[Eddie T]

FD, any new updates? We are coming up on the close of week 6 since everything was submitted on April 9. Cheers mate.

[I-Glow]

I have never seen a valuation done like that - here are some facts. The company is insolvent according to the most recent 10-Q.

Assets = $243,887

Liabilities = $11,295,579

Revenue = $0

Notes Payable = $3,795,125

In Subsequent Events we find:

More toxic financing:

"Parabellum, as amended on June 18, 2020, for an additional funding of $700,000, which was received on July 2, 2020.

On July 2, 2020, the Company and Power Up Lending Group entered into a security purchase agreement for a 10% Convertible Promissory Note in the aggregate principal of $53,000 due on January 2, 2021. The conversion price is equal to the Variable Conversion price which is defined as 61% of the Market Price for the lowest two trading dates during a fifteen-day trading period ending on the latest complete trading date prior to the Conversion date.

On August 5, 2020, the Company and Adar, Alef, LLC entered into a security purchase agreement for a 8% Convertible Note in the aggregate principal of $150,000due on August 5, 2021. The note can be converted at any time after the issue date. The conversion price is equal to 55% of lowest trading price for the twenty prior trading days prior to the conversion."

Adar and Power Up are two notorious toxic lenders - real companies don't use toxic financing.

IG