Update
1. TL Phipps and Company. The public offering is on again and off again with them, The principals keep changing their mind. Because recently they have seen a dramatic increase in their business, revenue and profits, they are not sure they want to go public now. CVIA still has a 25% ownership stake in this company.
2. The Texas land deal, the principals are still waiting for us to close the deal, they have been very patient and understand what is going on with CVIA. But they will not wait much longer. This deal is still waiting on the Preferred shares to come up for public trade. Worst case scenario I can go get a mortgage and close the deal this way, but upto this point in time I have not seen the need to take on such a large debt. Simply because we are so close to having to having the ability to do this deal without debt. Our option to purchase this property expires June 1. So the deal must happen by then.
3. Our Audits I was told these would be finished last week, we are on a day to day watch status with them. As soon as the audits come in the SB2 /A (amendment) will be filed to activate our preferred shares.
The cause of some of our latest delays. (A lot of this cropped up since March 1.)
RE: IPOSITE, we have been in negotiations with a private Securities Broker Dealer, Market Maker to go online and offer online trading through IPOSITE. We will pay for the programming and setup costs for this venture, in return for a certain percentage ownership of the online trader.
The programmers and their team is some of the best in the country, (maybe in the industry) and feel they can program a system that is 99.xxxx% flawless executions, we want and need them on this project, the negotiations have been going on for over a month, and they have bills to pay and other projects online… basically cannot wait much longer. It is not a good business practice to have such high quality people on hold. They are saying lets get started now and get this done.
Other side of the coin the Broker dealer is seeking legal opinions regarding the SEC, NASD issues surrounding on line trading and the arrangement we are working on. Very time consuming. I am trying to bring both sides together while each does what is best for the situation. The out come is still undetermined.
** This deal could be closed in 7 working days, but my feeling is that we are still a month away, due to all the caution and legal wrangling going on. The deal may or may ont happen.
Spent the week talking and interviewing with Industry reporters, analysts and editors for IPOSITE… we even have a securities lawyer thinking of doing a weekly column, regarding everything from Investor Rights to Internal Corporate Issues, most companies have to confront from time to time.) Not to mention a “Dear Abby” style columnist regarding investor issues <LOL>. A humor column regarding the stock market and a few more “specialized analysts”. Some Investment/Merchant Bankers, and private companies that may be looking to advertise their investment deals. All this in itself is very time consuming, but if we are going to do this right and make it profitable, then it will take time to do it, unless you guys just want to throw up some Junk and say look at what we have done.
We have a private “REIT” (Real Estate Investment Trust) that has gotten very hot since the first of the month. This company is conservatively valued in the low millions of dollars range and have a very impressive profit margin with nice revenues. Since they are private and need the help of a program I have offered them (CVIA being a public company) they could double in size in the next 6 to 8 months. CVIA is looking at taking 45.x% ownership of this company. We are in agreement in principal on matters and looking at closing the deal any time…. It's a matter of days to weeks.
This company is one we will be seeking to take out on a listed board, as soon as they qualify so I would not expect to see an IPO from these guys for a while, but this is not bad, because we could really benefit from their rapid growth and revenues in the interim time.
ArchivalCD, I spent much of this week coordinating with OTR to prepare for their dividend distribution. We are making sure that this distribution goes off without a hitch, and the problems encountered last fall will not be a repeat. We expect the ArchivalCD stock to be going to the DTC at the latter part of this week… or whenever the certificates come in from the printers.
I am still waiting on the ArchivalCD audits to come in so that I can file their SB2… The SB2 is ready to be filed pending the audits. I was told by the auditors they would have the audits finished 2 weeks ago, now we are on a day to day status with them. William Hale (CVIA director,) is our representative appointed to the ArchvialCD BoD. We did this, because of Mr. Hale's extensive background with IBM. He should be a big help to Dr. Hay and ArchivalCD.
A dead deal came back to life on the week of the 25th. We took an e-commerce company to a large Wall Street Investment banker for a possible full NASD listing in January. Complications arose in the deal, and I basically walked away from it. Last week a large amount of money came to the table via the IB. We were requested to come back to the table under new terms. Our choice act as spoilers and let the deal fall by the wayside… or renegotiate, If this does not look to be in the best interest of CVIA, we walk again, the out come is un-determined.
We have been in talks with REAL banks and accredited investors on some projects that both CVIA and they could realize some significant results…. (with out hurting our investors) The out come is still undetermined, but looking promising.
Various other meetings and actions that could not wait, regarding new companies and deals.
We have cleared all but $20k in debt, this can be retired any time, but we have 6 months to do it.
Now I hope the above will shed some light on our current events and may explain why we are running a bit behind with some projects. Sorry but Lawyers, Accountants, Investment Bankers, Banks in General, Large Investors, Stock Brokerages and computer guys all move at a speed they are comfortable with… and there is not much I can do to speed them up. So we wait.
I have reveiwed over 50 business plans from various companies wishing to go public, so we do have an inventory <LOL>
By the Way… I checked our Outstanding shares yesterday, it is 515,xxx shares out. About 98% of these new shares went to plaintiff shares, warrants, debt settlements, services rendered and that sort of thing since last August (which was an O/S of 393,xxx). Sorry but no one around here has turned on the printing machine, unless we get one vvvvvvvveeeerrrrrrrryyyyyyy good deal, or absolutely have to.
Feel Free to verify these numbers if you like, through Oxford Transfer. Lori L. the Transfer Agent President posts on RB, and it is fine with me if she verifies our O/S count.
KAA
CEO of CVIA
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