Hi Chief, spoof got spoofed. I updated my ST list of expectations.
The final unfulfilled item is now down the list.
1. PP and hopefully at or above market price (surprise element)
2. UK final
3. UK partner sign on, some money received
3. UK shipment, then revenue starts.
Reason, given the CURRENT market, any news is irrelevant. Look at what's happening to other companies announcing record rev, earnings, and cashflow getting hit, ie Banks. Companies with Balance sheets like FN near 52 week lows and others. Money continues to drain from the markets, see the yield curve, hint where its going. Listen to Greenspan recent spew on inflation and rise in interest in Euro. Any company needing money, like the CLQs, are at the mercy of the banks, merchant bankers. Many companies looking for money, equity and debt. So competition for $$.
It maybe wise for Rebecca to keep negotiating wording on the labels and wait for the stability to return to the markets.
If DMX miss Nov 30 UK final, they'll need money. Check their latest Q financials. Rebecca's a teaser, you got to pin her down to get the full details. Remember her burn rate number vs financials. Burn rate is one thing, look at the working capital. Remember Wolf's comment "it don't added up, where's the 500K". Go to Accounting 101 for the answer.
Can't lose the work to date with WF10, it too valuable. OXO research and work needs cash, too. Where are they going get $ in this environment? Banks, debentures, DMX? DMX can do a PP with insiders, friends, partners, and vultures. Actually a great excuse to for them to load up without public scrutiny. My comment above, if they do a PP above market price (done before) sends a positive message to markets, min dilution, etc.
Once friends and family and market friends (I called them the vultures above) are in, and the market returns to sanity, then sign the papers. Dollars should happen on signing UK Partner, but I bet revenue streams won't happen until 30 days after product is shipped and received by UK marketing partner. Pennsaid has 2 years self life and they need the money.
Well, this scenario is JMHO, BWTHDIK. Its my guide on how I'll trade DMX.
Take care. |
