Biomagnetics is providing a comprehensive update this morrning. Here’s what I know about it and a few tips on what’s really important.
The Los Alamos Call – This should be a really good event. It takes a while to set up, however. The hold up? Well, from what I understand it is not BMGP and it is not LANL – It is the NIH – The National Institutes of Health. They want to be included. Imagine that, a joint conf call or webinar with BMGP, LANL and NIH – all talking about TB biomarkers and TB assay development for the BMGP IBOS. That sound exciting to me. BMGP has not even wanted to discuss applying to FDA for the TB test device, as the amount of red tape and testing that would be required would be simply mind bending. Hardman is starting to think that maybe it is not such a bad idea considering the LANL support and what now appears to be developing interest from NIH.
The Audit – About as strong of a statement as Hardman can make that the audit letter is as close to being issued as is possible. I have talked to the auditor myself and can confirm this is going to be a done deal and is right around the corner. Clearly one of the most comprehensive audits I have ever seen. Also important is Hardman’s statement that the Form 10 is almost complete. This is the form that when filed with the SEC makes the company “fully reporting”. BMGP is getting things done.
The BioFuels Test Info – The reduction in Nox and carbon are big – the important part of this announcement is the profit from the biofuels – around $1,000 per ton. Impressive considering the recently increased capacity.
More Deals – Expect one or probably two more deals like these to be done for 10 MM shares each. There are huge additions to revs and earnings here with only little bit of relative dilution.
Share Count and Debt Levels – I recently purchased one of the last pieces of debt on the balance sheet, which I converted to about 1.1 MM shares. What investors are going to soon see is a company almost free of all debt. The very little left will not be toxic like many small comanies have. Still a very low share count on this company at 64 million as of the end of the last Q. That number will rise as the new acquisitions get layered in, but the amount of technology and revenue coming into the fold will more than off set these additional shares. Will be exciting to watch BMGP develop over the coming months. Cannot imagine this stock not really taking off when this Los Alamos call gets organized – especially if NIH does in fact attend. Good luck to all on this stock – Joe Noel
{ 38 comments… read them below or add one }
Joe,
Where is the company getting 2 million dollars from within a few months, and what are the terms of the loans if there is one?
If you read brian it’s dilution and joe says he’s buying debt. right joe?
took my post down in 14 seconds? that’s a new record! 2 million coming from dilution and joe buying debt, right joe?
thanks for putting it back up
Putting out comment after comment about a call isn’t what needs to be done. Please just put out the call details or stop talking about it. It looks bad for investors.
Saying every week, any day for the audit and any day for the call, loses credibility. Just put out the audit and call details already. 8 months to put out the audit, already didnt help our pps. Now its happening again with the call. Bmgp could be doing better if they would just release like a company, they hope to be. Heres their chance to show they are ready to become “that company”. As of now they still act like a pinksheet, and they should want to change that. I like my Bmgp, but lets start doing this the right way.
The only way dilution occurs in Bmgp is if the LOIs become concrete deals. If the deals dont happen the dilution wont happen. Its a win win for Bmgp shareholders. MexicoInvestor, Biel diluted to pay day to day operations, not revenue producing aqcuisitions. So if all deals fall through, we will stay at 63 million. So its win win or nothing for Bmgp. Biels dilution hurt its pps. And they didnt generate reveunes. Thats why it is where it is. And its a tough road to climb for their investors. Bmgp only gives more shares if the deals do in fact go through. And only then will we see more shares. Please do you homework instead of just bash because its a Joe company. Look deep, Bmgp and Biel are quite different. We just need our audit, and conference call to finally be released. Then we can upgrade off these pinksheets for good. Any and all of these will build a much higher pps for Bmgp. Biel investors got hurt. Thats life. Bmgp is a different setup all together. If Joe can get the audit and call done, the pps wont continue to retrace so badly. Joe its up to you to press them to make this a real company with a real shot. Or you will have another Biel on your hands. Please dont recreate that mess with Bmgp. Some of us still have faith in you, but its needs done ASAP, and not taking your time. Its killing us, these delays, yet we have so many good things happening. So maximize the good things by removing doubt with the audit and call. Stop stalling, it could be done by now. We dont want another Biel on our hands. Press, press and when you think youre done, Press them some more. Make us look legit. PLEASE
Everything looks great Joe, BMGP is on course for greatness. Looking forward to the CC, Audit,OTCBB,Acquisitions, then the $1pps target met.
Walter be prepared cause it’s going to be just like Biel, ask everyone on opmg LOl what a joke. I know everyone wants to make money but make some and get out cause no matter what is said this will end up just like Biel. LOI that is basically saying they might when the lottery but het everyone has the same chance of that right? NO it won’t happen and i will be back to say i told u so.
Derrick,
I initially felt sorry for you because of all your Biel losses. However, since you been trolling on the BMGP boards and this blog, I don’t have any sympathy. Be a man and stop whining. BTW, go ahead and track down my IP address. You don’t scare me.
CT, its ok your not worth it and i am financially stable so my position in Biel is one of comfort, this is about not letting people get away with screwing me and other shareholders . Thats funny you say trolling the boards since i work my A$$ off in the real world unlike you losers. I will keep doing what i do until this crap stops and people start doing what they say and not until. If you losers are in denial then get ready for some reality LOl cause it’s coming.
First of all it’s “you’re” not “your.” Second, if you are so financially secure, why are you crying about your Biel losses? I lost big in Biel too. Sometimes you win big and sometimes you lose big. One thing you don’t do is cry about it and blame others. If you can’t stomach the losses, then stick to CDs and other low-risk investments.
I guess people got it right when they invented the old adage “Hell hath no fury like a woman scorned.” You are certainly acting like a little beyotch who got cheated on.
P.S. If BMGP tanks, you can be sure you won’t see me on here or anywhere else blaming Clay or Joe. Neither one of them held a gun to my head and forced me to buy. Adios Mr. “I lost my money and now I’m gonna cry to my mommy and my lawyer.” LMAO
Joe:
Thanks for your update. The following just my 2 cents of opinion., from investing yrs in medical and medical device stocks.
IMO it may not be a good idea for BMGP to do FDA testing right now unless BMGP can find a deep pocktet partner and a well-connected one., like a large pharm/medical equipment co., and the time (to get approval), is often uncertain. Also, the medical (and medical device sector), like the defense sector, is not a fair playing ground.
Regards.
Any idea why this moved up 80% and then fell back? I didn’t see bad news except for the dilution. Maybe the powers that be just decided to take profits and leave others with the bag? That’s always possible isn’t it?
ryan i think you might be on to something but don’t tell anyone cause you might be called a whiner or a basher.
Ryan – I think it is just profit taking. Looks like a great entry point to me. Joe
Kcheung – I agree with you. Good comment. Joe
I will do it too. Notice they use a polite way to address you, and dont use the blatent bashing way.
Mr Noel,
Could you explain how you knew TZPC was going to do so well, though we didnt hear much from the company over a period of time.
You recommended it at $1.55, then those who listened, got a 1 for 5 forward split. This allowed us to gets 5 times our shares as it split to .31. Only to be up 40% at todays close. Kudos to you Joe.
Thank you kind sir.
Walter – I visted the company and talked to many of the long time shareholders. Right now they are blowing the numbers out via QVC – Have sold out in many of the NYC-area stores with the recent heatwaves. I am also a long term investor in the company above the $100K level, so I watch it closely, Thanks for your comment. Joe
Dear Joe, i would like to know a bit more about the nature of the contracts with the Chinese companies: you mentioned that 1 million shares will be issued upfornt to each, 1 million $ capitalized to each over the coming 90 days and 9 million will be issued upon acquirement.am i correct?
my questions are the following:
-what are the current assets of the two companies (estimate, in terms of US $)?
-do these companies have debt or other financial problems?
-what are the obligations of the Chinese owners to BMPG?
-do you have an estimate of the operational costs vs the profits for these two companies
Last, i would like to thank you for your professional conduct and the quality of IR service. I know there are a lot of people that bash due to their agendas or plain ignorance, but be sure there are many more people out there who appreciate your work regarding this company.
Joe – What are your expectations for the Q2 numbers out in a couple weeks?
Joe, you probably recognize me from the Yahoo message board. I have a request. Please ensure that the 10K report is published BEFORE the CC. We want institutions listening to LANL and NIH. Not the “sell on the news” retail crowd who unfortunately are the only ‘investors’ at this time. You are an analyst, right? You don’t have any clout in Wallstreet to get any well known healthcare buy side analysts on the call? I think it is just a waste of time for all these highly esteemed folks to join a call whose audience are penny stock daytraders. Thanks.
Beta – will see what I can do. Hardman is in India with the LANL people this week. I really think it is incredible how much interest LANL is taking in the project. They are meeting with the malaria and TB institutes. Significant progress being made. I think a call with NIH, LANL and BMGP will add a lot of credibility and spike interest in these shares. Stay tuned. Joe
TJ – Let me see what I can do on your questions. Here goes…
what are the current assets of the two companies (estimate, in terms of US $)?
Answer – Difficult. All four proposed deals will have assets of about 125 mm. The plastics company has only a few hard assets. A building and several machines. The real value is in the patent – difficult to place a price tag on it. The biofuel company – The company recently added some capacity – meaning they added hardware to the plant. Not sure of the value but will ask Hardman when he gets back from India later this wseek (he is in India with the LANL team)
-do these companies have debt or other financial problems?
Answer – Neither of the two companies has any substantial debt that I know of. One of the upcoming companies does have some – -I will try to add it to the upcoming PR on the deal.
-what are the obligations of the Chinese owners to BMPG?
Answer – Normal ownership restrictions. Audits, all rev and profits to BMGP, etc.
-do you have an estimate of the operational costs vs the profits for these two companies
Answer – Yes, but BMGP has no disclosed yet. Both are highly profitable at rather low production volumes.
Why can’t Bmgp get an audit done? No more excuses. Why can’t they get this done so investors will get to see inside the company? It’s August 3rd. C’om Joe get it together with them.
Walter – It is very difficult for small comanies to get audits done. While larger companies are given the benefit of the doubt, small companies must show documentation of every transaction. It is a bit difficult when the auditor asks for a travel receipt for a trip three years ago. This is the type of thing these small companies are up against. The audit letter will come soon – exactly when is the question – if is not the question. There is nothing the company can do. They provided all the requested info. The ball is in the auditor’s court at this point. Joe
Joe, here’s an important thing I would request you to discuss with Clay upon his return from India. BMGP should start soliciting pharmaceutical companies that benefit from the sales of vaccines for Malaria, cholera and TB. Explain to them the science, the cost benefits and timelines for production of this testing capability. And then work out a royalty scheme with these pharmas for vaccines administered as a direct result of an IOBS test. Royalties are pure profit and will increase margins by many fold. It also increases chances for takeovers in the future. Please make sure that Clayton taps into these additional revenue channels as soon as possible, if not already.
Beta – I will forward your comment over to Hardman. Good suggestion. Joe
Joe, There appears to be a press release on the conference call next week. I found out about it in an unconventional way. Why would BMGP not press release this to the larger carriers? We get a press release on “investor update” through larger channels, but a press release about an event as large as a conference call ,with the lab scientists, goes unnoticed? What is the rationale behind this?
Walter – there was an issue with Business Wire – It is the largest wire service of its kind (a Warren Buffet company) They had an issue interfacing with other wires so it did not get seen by most – we will likely resissue on Monday. Joe
Joe you shared on this blog that the CEO of BMGP was returning fro India weeks ago, while stating that you would be releasing an update to those travels in the next few days. It is now a month later. Why do you not follow through on your posts, in your own words? BMGP hasnt released any news since July. With August almost over this is too long to keep investors in the dark, AGAIN. You may remove my posts, but Im trying to hold you accountable. Small caps are risky, we all get that from this blog. As the IR person for these companies, it is your responsibilty to keep the information updated about these companies. Companies that don’t regularly update shareholder usually suffer more than those who do. Official updates do not need to be just deal signings, but updates to what has happened on trips and potential business is information that shareholders need, if not they move on to a company that will. You’ve written to me before on this blog about this exact topic and said you would be looking to correct this. However, you are doing it the same way you always have been. It you look, the way you always have been isnt working. Now Im asking you as an investor in one of your companies, can you start doing proper communications that are essential to small caps success? A lot of the posts on your blog lately have been about the lack of communication. So you know this is an area that needs improvement. And not 6 months from now, but starting now. Companies who dont update investors shouldnt have any investors. and as those smart people leave, your companies are where they are. No one should invest in any company that doesnt release timely updates. The investor invests to help the company with its overall goals. The company has the same responsibilty to the shareholder to make sure the invested money isnt just a grab and dash. PLEASE do a much better job in making these companies inform shareholders. The private sector is for companies who want to keep things to themselves. Public means public should be just as informed.
Joe, there is still no link on yahoo to the companies PR. can you give an update? will the LOIs be discussed on the webinar or is it only LANL related? what is the current status on the acquisitions?
Jackie – So frustrating that Yahoo did not pick it up. It happens once in a while. We plan to announce the actual call details in a PR very soon. We will have LANL specific part of the call and will then do an overall corporate update.
Walter – I agree – We will do a corporate update via a conference call attached to the LANL head scientist’s webinar. Should provide some really good info that will show that these shares are worth a lot more than the current offer price. Very excited about upcoming developments. Joe
I hope we hear about the LOI and some upcoming timelines on BMGP during the call.
Phillip – The call with provide an update on the status of the Chinese deals. Joe
and whats the status of the elusive audit. the delays are worrying
Jackie – I give up on predicting the time of the audit release. It is all “done” except for the issuance of the letter. It’s is coming, however. Hope you can make the call on Friday. Joe
Conference call or not, the Audit delay has hurt this stock. This shouldn’t be delayed even one day longer than it already has shown. We could be doing a lot better with BMGP. What ineptness.