The money to pay for the recent purchases comes from the issuence of restricted shares.Night Hawk, Calvocade, USBL were all bought with shares that are restricted for a couple of years to a few years with certain conditions applied. They are not free trading shares which means that they do not affect the float or the current trading situation. This is how most Companies prefer to acquire.
The nice thing about the situation is that the company (TNRG) gets to benefit from the cash flow of these new add ons, without experienceing any upfront cost. If you understand the way these works for TNRG, you will see the positive of the whole scene. I think most people do not understand this, though, and will need to see the figures in black and white before they fully appreciate how these deals help the company.
The best way I can think to explain it is that if you bought a house, and the bank gave you 100% financing, paid all of the legal costs, and then turned it over to you, Then you rented the house out for for 50% more than cost, you , in effect, get a house that pays you income, without you risking your money.
IMOP Night hawk and calvocade have already shown that this will be a great move. The beginning of the income stream from Calvocade is just starting to come in with the signing of three TV stations. Night Hawk has recently announced the "Tracker". Looking into the need of a portable EKG with the ability to hook up to a computer, for $300 U.S. has surprised me that there is a considerable need for this device.Current models that are even remotely close require that the patient turn on the device when they feel an irregularity in the heart coming on. The competition then records up to 270 seconds of data, which the patient must then phone and transmit via phone to the doctors office. This requires that the doctor have a receiving unit.
The tracker hooks to a pc. It isn't limited to only 270 seconds, so it can give a much larger picture of the patients cardio situation. I imagine transmition to a doctor could be via modem, or transfer to disk. In the future, I think this product will be extremely profitable.
The Mall is also a good indicator of things to come. Here we have a mall owner that has turned over a 100% occupied mall with 144 million in gross revenues. (80%) share. The bottom line has been 5 million. Discussions with Tilton have shown that the previous management did not take opportunities to control costs and make the bottom line more profitable. Tilton will be able to do this. No one would just give up control of a mall , to recieve debentures that cannot be exercised until $3.00 U.S. stock price and only 8% annual interest rate, if they did not believe that the deal would enhance the value of the mall and the remaining 20%. Obviously they saw that $3.00 per share in the next 2 years wasn't unrealistic. Awhile back someone asked what was to stop the Chinese mall owners from dumping their Debentures on the market once the price hit's 3$. Logic! First, if you had millions of shares, you would not throw in a market order for the whole wad at once. This would screw up the price and you would be shooting yourself in the foot. YOu instead would file a 144 k and sell a little at a time. Most likely you would sell only as much as you had too, while holding on to as much as possible (and the 8% interst that goes with them) watching the stock as it goes even higher.
There are a lot of stocks on the OTC right now, and out of all of them , TNRG is right up there with top stocks for potential.
Logic and stock price don't always happen at the same time.
look at it this way. On another thread is a stock called MEGH, megalith inc. Currently MEGH is an empty shell, with a rumor floating around that an elevator deal may be happening soon. No one can confirm this. Nothing has happened with the company for quite some time, but still it is a "maybe". Oh yes, MEGH acquired ESCO a while back, which is bankrupt, not to mention a lengthy list of insiders selling off in 144K.
Now what can you Buy MegH for today? 9 cents a share!
Is this logical? Beats me. I'm not spock.
It just seems to me, that with all that TNRG has going for it, at 8 cents, why would I want to buy MEGH. (No offence to MEGH, I hope they make big bucks)
Want a better example? How about Midl. The shareholders just got royally screwed by Dan Fostor. The company is technically an empty shell too. Now this one may not be dead yet, if they can reel from the blow they just got, and get their patents in order, but for the moment, MIDL , is temporarily frozen in place. What can you buy a share of midl for?? 40 cents on friday.
I think , at this time, TNRG looks much better. |
