I recently visited with Doug Corbett (Acting CEO and VP Sales and Marketing)at ALYA's office outside Vancouver BC.
We spent about an hour going over the company's products and business strategy. I left with a copy of the business plan that I have since reviewed.
Doug and I had an opportunity to meet again after he concluded the agreement with MacDonald Miller (see the recent press release) here in Seattle. I am familiar with MacDonald Miller. They are the major player in commercial buildings in the Northwest. The company is conservatively managed and not prone to taking risks. Their agreement as reported in the press release, will be noticed. This company is well known in the business.
BTW, for those who may be becoming impatient, the sales cycle from distributor agreement signing until product revenue/sales can take 3-6 months or more. I have experience with similar sales from my years in sales with Digital (DEC). After a distributor (VAR or Value Added Reseller) signed the agreement, it often took 3-6 months for them to close the first "small" sale. I wouldn't see a sale to the VAR until after they had closed their sale. Having sold to MacDonald Miller, in the past, I would expect that they already know who will buy the system. Now they will start their sales cycle. When their sale is closed, Alya will start seeing product orders.
At our meeting Doug and I discussed the company financials as presented in the business plan. Doug assured me that the company has several financing sources that they are working with that will be more than adequate to fund on going operations through the end of the year. Doug told me that he expects the company to turn profitable in the same time frame.
While I have not seen the security system in operation, I can say that I was favorably impressed with what I have seen. I have a technical background (19 years at DEC) and can appreciate the effort that has gone into developing this product. While at ALYA, I visited the engineering development and support training labs. In the training lab I was able to view and handle the system components. I waved a badge at a reader and watched the system respond with identification information and send signals to open the door and summon the elevator. It was a good demo.
With regard to the insider registrations (for sale), Doug told me that there are a lot of "early investors" who never had more than a financial interest in the company. Most of these are friends of the founder, Milan Carnogursky. Some of these "early investors" are simply taking some profits. NONE of the principals of the company are selling any of their shares. NONE are registered to sell any of their shares.
Doug also told me that he is close to closing another major distributor agreement in the South Pacific, which he will announce it when it is signed. The company is on track with its business plan. They are signing distribution agreements with world class companies who wouldn't be signing if they didn't have a high degree of confidence that they would be able to sell the product to their customers. These firms don't make commitments like this easily. In my experience, the better they are, the harder they are to get to sign, but when they do sign, what they sign for is very conservative.
DISCLAIMER: The information presented above does not constitute a recommendation or solicitation to buy or sell any security or option. Forward looking statements involve risks and uncertainties including, without limitation, continued acceptance of the company's products and services, increased levels of competition, new products and technological changes, the company's dependence upon financing, third-party suppliers and intellectual property rights, and other risks detailed from time to time in the company's federal filings, annual report, offering memorandum or prospectus.
I personally hold a position in ALYA.
That should keep the lawyers happy.
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