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Lofaus

02/26/11 11:59 AM

#4976 RE: RKH #4975

They are just finishing a $69m power plant and plan to build another $53m power plant this year. How can you claim they are not getting the financing they need???

Their ascent to profitability will take time as the capital outlay for their equipment is substantial. Once established and producing, their financial picture gets better.

Their product is already proven and will get a lot more attention once it's delivering on a merchant scale. The market they are trying to penetrate is there once more and more renewables go on line. It's not only in the US, it's worldwide.

Beacon is going to do well as they grow out of the need to feed the criminals. A way to get cash to build more plants.
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Ecomike

02/26/11 6:12 PM

#4979 RE: RKH #4975

I partly agree with you. But I wonder if they won't play the other game first, where they run the stock up to $5, sell 50 mil shares out the back door to new accredited investors for $3/share plus 50 mil free warrants and then PR the news, pulling the rug and plug out just after shorting it.

I like the company too, the tech, after this R/S I have real doubts of its investment quality right now as it is obvious they left room for 90% more, new dilution to raise cash for paying those loans, and or for building more capacity.

I am still holding now, in hopes they do a ramp job up on the price before the next round of major dilution. If they ramp it up, I will sell, and buy back later. And if they dilute after the price crashes, I will add there, and not before.