posted
Good morning all. I was thinking that this one could be a huge runner but I have some questions about the information below that came from the last 10Q.
The convertable debentures total over 100mm. Have those shares hit the market? If not why is the price down so much? If they havent what will happen when they do?
The insiders hold over 7mm shares according to the form 3's filed which is a good thing and they appear to have a good product. Just wanting some ideas before I put some money in this.
Common Stock
On August 25, 2006 the Company's authorization to issued common stock was increased from 50,000,000 shares to 500,000,000 shares at par value of $0.001
As of August 31, 2004 (post merger) the Company had 5,020,000 common shares issued and outstanding.
In May 2005 the Company purchased equipment valued at $114,100 for 33,334 common share and issued 122,834 common shares for services valued at $12,283.
On January 6, 2006 the Company issued 50,000 common shares for services valued at $7,500.
On February 16, 2006 the company entered into a securities purchase agreement for a total subscription amount of $2,000,000 that includes stock purchase warrants and callable convertible debentures. A discount on convertible debentures was recorded against additional paid in capital of $315,000 which will be amortized over the life of the debentures. The total subscription includes an aggregate of 2,142,858 five-year warrants exercisable for the same number of common shares at $0.50 per share. An aggregate of 25,974,026 common shares have been registered and are available for issue to potentially convert the full $2,000,000.
On July 31, 2006 the company issued $500,000 in convertible debentures at a 40% discount. A discount on convertible debentures was recorded against additional paid in capital of $333,333 which will be amortized over the life of the debentures. Common stock registered to convert the full $500,000 was calculated at 69,444,444 shares using the current three day average price per share of $0.012 less a 40% discount.
On May 31, 2006 the Company issued 290,000 common shares by converting $33,031 of debenture debt and issued 33,334 common shares for consulting services valued at $3,333.
The Company converted $52,607 debt into 5,780,000 common shares during the period ended November 30, 2006.
The Company issued 61,000 common shares for cash of $25,000 and the subscription deposit of $36,000 received in May 2005 in a private placement.
The Company issued 683,534 common shares for services valued at $19,835.
-------------------- In the end, trust only yourself when trading stocks. Posts: 2048 | From: Texas | Registered: Feb 2006
| IP: Logged |
posted
You raise some good questions and warranted concerns regarding potential dilution. The company has issued SB-2's and SB-2A's to register these securities, but I also saw the RW filing withdrawing an SB-2. It is confusing and convoluded as to which, what SB-2 action has been withdrawn. I also noticed some preferred shares, but have not looked deep enough to find the conversion ratio. Here's their filings :
Even with an additional 25M or 28M shares this is still a good play, but again it appears that SB-2, (SB-2A) has been withdrawn.
I am more focused on the financials. They are EXCELLENT for a penny stock. Again, I freely admit that financials do not drive pennies, but they can enhance the chances of a profitable trade.
"According to the last From 10 filed: 12M shares, O/S 7M Float Revenues $566,033 Gross profit $110,151 Current Assets vs. Current liabilites $1,026,025 vs. $676,716, 1.5 /1 quick ratio Cash on hand $656,344
A low float penny company, with real revenues, and a profit, a positve quick ratio, cash on hand."
Sorry to be redundant, but this is my focus.
Someone smarter than I am will have to figure out the mumbo jumbo of the SB-2's and the withdrawl. I'll accuumulate under .005. Even if it is being moderately diluted I like stocks with O/S or potential O/S of under 100M. If / when it is to be diluted, they will give it a decent run around the track, and recover their investments, (they = MM's).
It isn't your typical "MOMO" play, P&D type, were most enter late and get slaughtered anyway. It is a wait see, accuumulation play in hopes of either an MM managed run, a group running, and the very best scenarion, both ocurring at the same time. I knoaw for a fact that this has been ran by group previously, and they are in the habit of coming back to stocks they have had success with.
I don't see any REAL dilution here, slow and steady REAL interest, maybe ?
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
I suggest reviewing the filings for BANY. There was a SB-2 for 2 BILLION filed by BANY, and it had 2 or 3 decent runs after that filing. SEWC has cancelled their SB-2. The shares supporting those debentures have to be registered.
There isn't any real comparison between the companies, that I can see. SEWC has more posisitves going for it than BANY has or will ever have.
Just my opinion.
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
posted
You make some good points Will. I agree that this stock under a penny with at the most appears to be 100mm shares possibly out and an actual product that is produced should be a slam dunk. If the stock gods are good to us maybe we can get some and have a runner. TMAN...
-------------------- In the end, trust only yourself when trading stocks. Posts: 2048 | From: Texas | Registered: Feb 2006
| IP: Logged |
quote:Originally posted by dollar13: THIS POS IS NOT GOING NOWHERE FOR NOW, I'LL GIVE IT 2 MORE WEEKS ,TO PUT IT ON MY WATCH LIST
I agree, it is not going nowhere...
Glad to see the increased interest in this one. I agree with will. This is a stock you buy when it dips and hang onto it for an MM or group run or both. Even if they dilute 100mil shares (hypothetically speaking), it will still have a lower o/s than 90% of the POS's down here, and has good financials to boot. I have flipped this one a couple of times, and will continue to do so until it plays itself out...
Posts: 2741 | From: Seattle | Registered: Feb 2005
| IP: Logged |
posted
Last time this hit .004 it went straight up to .025 I expect the same reaction if not better. I remember watching this one hit Fifty Cents. It could very well do it again.
posted
Lol no brainer...tried to get some at .005 for a while, scottrade had some computer error with it, had to call in, so decided not to, i was lazy, now paying for it.
-------------------- Disclaimer: Not accountable for anything I say Posts: 6266 | Registered: Jun 2004
| IP: Logged |
posted
Why's that cactus? You could have bought ETIM at .0021. LOL
quote:Originally posted by cactus33: DOH !, im glad i listened to skip and will, lol
quote:Originally posted by dollar13: THIS POS IS NOT GOING NOWHERE FOR NOW, I'LL GIVE IT 2 MORE WEEKS ,TO PUT IT ON MY WATCH LIST
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
posted
Alerted at .005, think .014 could be called a decent gainer, 180%.
Sweet ! .....and still going, good luck.
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
posted
Save some of that luck for the ETIM you were pumping at .0021, you need it, now .0012 / .0013.
-------------------- A million seconds is 13 days. A billion seconds is 31 years. Posts: 4893 | From: Burbank IL USA | Registered: Feb 2004
| IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
![[Razz]](tongue.gif)
![[Eek!]](eek.gif)
![[Big Grin]](biggrin.gif)
