Key employees have sold some stock but still retain the majority of shares that they originally owned.
The number of issued and outstanding shares of common stock of Totally Hemp Crazy Inc. (the “Company” or “we”) was 364,541,154 as of April 13, 2015. There have been no share issuances since April 6, 2015.
Since July 2, 2014 and as disclosed in the Company’s OTC filings, Donna Rayburn has converted portions of a convertible note into 39,240,710 shares of the Company’s common stock. From March 14, 2015 to April 13, 2015, Mrs. Rayburn has sold 15, 262,200 shares of our common stock and has not purchased any shares.
Since July 2, 2014 and as disclosed in our OTC filings, Roy Meadows has converted portions of a convertible note into 59,000,000 shares of common stock. From March 14, 2015 to April 13, 2015, Mr. Meadows sold 5,303,300 shares of our common stock and has not purchased any shares.
Since July 2, 2014 and as disclosed in our OTC filings, KWD Family Ltd Trust (the “Trust”)has converted portions of a convertible note into 6,250,000 shares of common stock. From March 15, 2015 to April 14, 2015, the Trust sold 200,000 shares of our common stock and has not purchased any shares.
The above referenced shareholders have confirmed to management on April 13, 2015 that they have not been involved in any promotional activities concerning our shares of common stock
Monday we should see the .30's/
Long only, tech, growth, solar
Profile| Send Message| Follow (688 followers)
Implication Of SunEdison's Rumored Acquisition Of Evolve Solar
Apr. 5, 2015 4:03 PM ET | 17 comments | About: SunEdison (SUNE), Includes: SCTY, TERP
Disclosure: The author is long SUNE. (More...)
SunEdison is rumored to be acquiring Evolve Solar - a major SolarCity lead genertion partner.
Rumored deal terms indicate that Evolve Solar may have been motivated to exit - likely due to ITC and utility tariff change considerations.
The deal appears to be a net positive to SunEdison and net negative to SolarCity.
According to Greentech Media, SunEdison (NYSE:SUNE) is set to acquire Evolve Solar and the deal is expected to be announced in the next few days.
The deal can have interesting repercussions in the industry as Evolve Solar, on its web site, claims to be the largest Reseller of SolarCity (NASDAQ:SCTY).
According to Greentech Media, "the acquisition price is $48 million in total -- $10 million in cash, $4 million in SunEdison stock, and the remaining $34 million in an aggressive earnout dependent on sales in the coming years."
While none of the key metrics such as sales and profitability are known, the deal structure, assuming the report is accurate, appears to indicate Evolve Solar may have been overly anxious to exit. It is likely that ITC expiration and changing tariffs played a role in Evolve's management's calculations. With ITC expiration set for end of 2016, we expect many similar deals will occur later this year as businesses look to exit the space when the going is good.
Given the lead generation nature of Evolve Solar's business model, the deal appears to be synergistic with SunEdison's (SUNE) asset lite model. The deal structure itself appears to be favorable to SunEdison as the Company can use immediately use the Evolve sales machine to feed project to its TerraForm Power (NASDAQ:TERP) YieldCo.
SolarCity's response to the acquisition, taken from GreenTechMedia, seems to indicate that the loss from Evolve Solar departure may not be significant. According to SolarCity spokesman, "We've reduced our use of resellers -- it's become a higher-cost channel and it's more difficult to control quality."
Since Evolve is a major SolarCity reseller, the odds are that SolarCity was considered as a potential acquirer at some point in time. Whether it is the deal value, duplication of personnel, strategy shift, personality issues, quality concerns, or some other factors that caused a deal with SolarCity to not occur is a matter of speculation.
As such, there is validity behind SoalCity's claim on costs and quality. As the competition in the space gets more intense, SolarCity may not want to lose some of the meager margin dollars to a third party. Also, given the lead generation nature of Evolve Solar's business model, there is considerable scope for quality issues. In this industry that thrives on half-truths, outright lies, and gullible customers, commission driven model can easily become a recipe for disaster.
Regardless of the reasons for this particular deal, this may be a setback to SolarCity as the company seems to be on the verge of losing a significant sales partner. We can add this setback to the list of many other challenges SolarCity has in the near future in terms of keeping its growth targets.
SunEdison, on the other hand, has very little in terms of US residential infrastructure and could potentially benefit significantly by ramping up a leveraged sales force prior to ITC expiration.
By then it will be on the grey sheets pending bankruptcy and all common shares will be wiped out. Then they will reorganize under Chapter 11 with a different business model like they have done in 2013.
get your head outs of your #$%$. This stock was placed on the caveat emptor because they are suspected of fraud or at best misinformation,not because of the taste of the drink. That was the worst rebuttal I have ever seen!
A lot of people bought in the high 20's yesterday. I feel for you. It took 5 minutes for my market order to fill this morning to get the hell out. Losing a little always feels better than losing your shirt.
Of course fraud and manipulation are plausible realties. I'm watching these 10,000-20,000 block buys and wondering- who are these people? Are they believing the pumpers who are trying to protect their investment.
They are basically saying- this stock is gonna tank and you will lose all your money. At least you get a warning- ignore at your own peril.
The longs are calling me a basher, loser whatever. I made a lot of money on this stock. From .03 to .27 and the balance this morning sold at about .237 It's your money. Throw away if you like.
get your head- actually I was swing trading but mostly long until yesterday when I sold most of my position at . 275. Sold the balance this morning at .237. Whoever calls me a basher is whistling past the graveyard. When the stock is delisled ALL your money is gone. Get out while you still can.
typo- what happens TO Caveat Emptor stocks
They die a slow painful death on the grey sheets. Do your research. This scam is done. I am disappointed because I owned a lot of shares. I got out yesterday because I expected consolidation in the .24-.25 range. Todays skull and crossbones speaks volumes and the share price is reflecting pending delisting and bankruptcy- the did the same thing with their Chillo hemp infused drink with Republic of Texas. Pumped it and then filed bankruptcy three days later.
Now we are trading in the teens. This is gonna get halted. I can almost guarantee it.
Stock price is reflecting the mistrust in this company
The other (and much more heinous potential allegations were not addressed in the press release. They did not say "we have done nothing wrong and will vigorously defend our position." This does not pass the smell test.
If you are new, get the hell out. If you are an experienced stock trader, you know I am right.
When is the Caveat Emptor warning removed?
Companies may get the Caveat Emptor warning removed by providing disclosure pursuant to the Alternative Reporting Standard (ARS) to investors via the OTC Disclosure & News Service or by becoming current in their SEC filings. Disclosure pursuant to ARS must follow the OTC Pink Basic Disclosure Guidelines, and an Attorney Letter including Exhibit B of the Attorney Letter Guidelines must be provided. OTC Markets Group, at its discretion, may continue to flag a security as Caveat Emptor if it believes there continues to be a public interest concern. Companies should contact Issuer Services to verify what is needed to remove the Caveat Emptor warning as there are a variety of reasons this may have been added. Click here to learn more about the Caveat Emptor Policy.
They wind up on the grey sheets and/or file bankruptcy. Jeffy G filed for Bankruptcy on the prior shell and there was absolutely no warning.