Posted On: 08/13/2016 2:49:39 AM
Post# of 30066
I understand where your coming from Tanis being here for a couple of years myself and experienced everything myself too. But i do think this time is different because the JV is mentioned in a 8K instead of twitter from GC.
I think it might be for 2 reasons.
1) negotiations - willing to show the interested party they are willing to finance it by themselves if need be.
2) RS is a backup plan in case a JV doesn't happen.
But seeing how MNK just bought Stratatech with their burn product, who's to say that if this JV with this certain party falls through, others can still take a huge interest in ESS and a deal can still be made with an other party after they realize that ESS has value (indirectly through the MNK deal with Stratatech).
Say for example MNK paid $200 million for Stratatech then i would think our product should be say worth (i'm really just throwing a low number in my eyes here) $60 million.
Our market cap is $3 million so if ESS would be easily worth $60 million then thats a 20-bagger from the pps we are at now!!
And i personally believe MNK paid more then $200 million because of the following statement in their press release:
As an MNK investor i know that MNK makes a load boat of money (see quote below) each quarter.
$200 million dollars is easily made within a quarter so some kind of dilution would suggest to me that the deal is a lot higher money wise then the $200 million i'm taking for my example. It could also be they do part money and stock or else i don't understand the dilution part in the PR.
Not so long ago MNK just bought 3 products with cash they generated in a quarter from memory.
Another reason is i recall reading that Stratagraft could earn 300million in america alone (market potential). So i think $200 million would still be a low ball offer for MNK for stratatech.
Just some thoughts and i'm not saying i'm right but thats how i look at our current situation.
Investorxc's post to me a couple days back made me do some re-thinking and i decided to average down my position with a small amount of money.
I got my average down from $2.28 to $1.67 at the moment with hardly any cash considering how much money i already have invested and lost so far.
Lets hope this time will be different with ambs then what we have experienced before. I'm crossing my fingers for a good outcome this time!
Have a good weekend.
Quote:
If a JV partnership with cash is so close, why make the announcement for a potential 1:300 RS?
I think it might be for 2 reasons.
1) negotiations - willing to show the interested party they are willing to finance it by themselves if need be.
2) RS is a backup plan in case a JV doesn't happen.
But seeing how MNK just bought Stratatech with their burn product, who's to say that if this JV with this certain party falls through, others can still take a huge interest in ESS and a deal can still be made with an other party after they realize that ESS has value (indirectly through the MNK deal with Stratatech).
Say for example MNK paid $200 million for Stratatech then i would think our product should be say worth (i'm really just throwing a low number in my eyes here) $60 million.
Our market cap is $3 million so if ESS would be easily worth $60 million then thats a 20-bagger from the pps we are at now!!
And i personally believe MNK paid more then $200 million because of the following statement in their press release:
Quote:
Dilution Consideration and Closing
The strength of Mallinckrodt's overall business is expected to offset slight dilution to the company's near- and longer-term adjusted diluted earnings per share
As an MNK investor i know that MNK makes a load boat of money (see quote below) each quarter.
$200 million dollars is easily made within a quarter so some kind of dilution would suggest to me that the deal is a lot higher money wise then the $200 million i'm taking for my example. It could also be they do part money and stock or else i don't understand the dilution part in the PR.
Quote:
In the first nine months of fiscal 2016, Mallinckrodt generated $994.4 million in operating cash flow and $860.9 million in free cash flow, with $412.2 million in free cash flow in the third quarter alone.
Not so long ago MNK just bought 3 products with cash they generated in a quarter from memory.
Another reason is i recall reading that Stratagraft could earn 300million in america alone (market potential). So i think $200 million would still be a low ball offer for MNK for stratatech.
Just some thoughts and i'm not saying i'm right but thats how i look at our current situation.
Investorxc's post to me a couple days back made me do some re-thinking and i decided to average down my position with a small amount of money.
I got my average down from $2.28 to $1.67 at the moment with hardly any cash considering how much money i already have invested and lost so far.
Lets hope this time will be different with ambs then what we have experienced before. I'm crossing my fingers for a good outcome this time!
Have a good weekend.
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