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BA Philosophy with a focus on epistemology.
  • Evolucia Is Set To Become The World's Leading LED Technology 32 comments
    Jun 24, 2013 9:21 PM | about stocks: ILED, RVLT

    As traders and investors, one thing we dislike about searching for the next Bubba Gump is reading about it one day before its assumed ignition. That doesn't give us any due diligence margin, and leaves us with two options: Act like herd animals and get slaughtered, or sit on the sidelines and watch Bubba Gump reach high orbit above Wall Street-and cry ourselves to sleep every night. For traders and investors alike, neither option is desirable.

    In view of that, I've decided to divulge my research far before that time. In fact, I would suggest not buying Evolucia (OTCPK:ILED) in the short term. Evolucia's float is 1 Billion shares, trading currently at .02 cents. That sounds worse than it actually is, however. I don't know what Evolucia's average float is but let's say it's 25 cents (which is generous, given that since 2009 the price was .10 and has declined to .02 cents since 2011, and they went public in late 2007). At 25 cents a share, that would equal 250M in total float. That's not so bad, really, as a buy back of 125M would reduce float by 50%. Another option is a reverse split, which wouldn't cost the company anything.

    In either event, take the time between now and when Evolucia plausibly climbs to the heavens to familiarize yourself with the company: Read a few technical papers on general LED technology, read Evolucia's white paper on their patented LED technology called "Aimed Optics," and become intimate with ILED's stellar management team.

    There has been a fair amount of noise about value LED companies lately. Some articles are bullish on these small and micro cap companies and some bearish, all for various reasons. Since I've never been one to follow crowds, deciding which LED value company to follow and perhaps leverage into is based on two key question: (1) Which company has the best technology? and (2) Which company has the greatest chance of marketing that technology to its customer base? The importance of the second question is obvious, but for many, the technology behind a company is of less concern.

    In the case of LED markets, weighing technology lighter than marketing is an extremely unfortunate oversight for one key reason: The very existence of LED markets rests on the necessary condition of efficiency. That is, if it weren't for efficiency, there would be no reason to replace, for instance, High Pressure Sodium lamps, those yellow orbs of light familiarly called "street lights" nor the now ubiquitous fluorescent-both of which are a very large targets for LED manufacturers. In fact, LED can eventually replace both technologies indoors and outdoors, but, again, only if LED technology is necessarily more efficient. In other words, ignoring LED energy efficiency is to investors as ignoring wolves is to sheep.

    That being the case, efficiency translates backward to technology and forward to the bottom line of commercial customers. Commercial is the operative word here. The consumer market is vastly more unpredictable in that it is highly susceptible to marketing, rather than superior technology (remember the BETAMax by Sony?). That's because consumers are generally ignorant of the technology they buy, buying whatever is cheapest and available when they need it, and in whatever packaging catches their eye. As such, consumer marketing will make or break a company, including a consumer LED lighting company.

    Commercial marketing is a different animal. Commercial customers are not ignorant of the technology in which they invest, and, in fact, are going to buy the product with the greatest return on their investment. Therefore, all things being equal, commercially oriented buyers are going to invest in the most efficient-superior-technology. Furthermore, all things being equal, the company with superior technology is more fit to survive as a dominate player in the LED market; and, ipso facto, the entity with superior technology has the best chance of being The dominate player.

    So, what company is positioned to dominate in the commercial LED marketplace based on superior technology? My conclusion is Evolucia because has developed and patented the most efficient lighting in the industry.*

    The meat of my investigation gravitated around several key questions:

    1. What is Evolucia going to do about its share price?

    2. How is Evolucia's technology compared to its competitors?

    3. Why has Evolucia lagged behind its competition in marketing and sales?

    4. How does Evolucia's new leadership contribute to Evolucia moving forward?

    5. Is Evolucia more industrial oriented or consumer oriented?

    I posed those questions to Evolucia's Craig Hall over the phone and in email. I'll number his answers as my questions are numbered above (Note: Unless directly quoted, all information is paraphrased):

    1. On April 30th, 2013, Evolucia's CEO announced that it would be trading on NASDAQ within twelve months. At this time, Evolucia has put stock concerns on the very back burner, but the NASDAQ deadline persists. The reason the NASDAQ listing along with general stock concerns are on the very back burner is that Evolucia is leveraging all of its resources at global marketing, distribution, and manufacturing, with the goal of European, South American, Asian, Australian, and North American manufacturing and distribution locations. This is important because it cuts time to market, international tariffs, customs, and other logistic problems.

    2. Our closest competitor is Revolution (NASDAQ:RVLT). "My understanding is that RVLT is commercially focused, but primarily indoor lighting. Evolucia is commercially focused (originally in the outdoor lighting space), but we have transitioned to encompass indoor as well with our acquisition of Affineon Lighting. I can't speak to RVLT's technology, but I can say that in the outdoor lighting space (roadway lighting, parking lots, etc.) that Evolucia's Aimed Optics allows for the highest efficiencies in the industry. . .and our technology outperforms theirs specifically in the outdoor space."* Evolucia's technology rests on the "Aimed Optics" patents. Over $30 million of investment has gone in making Evolucia's technology the most efficient technology in LED lighting.

    3. As stated in #1, that was due to focusing on technology and a low IQ in marketing. Since then, Evolucia has hired two former executives from OSRAM (Sylvania), one in the position of CEO, and an entirely new and extremely experienced management team.

    4. Evolucia's new CEO and one of its Board of Directors are both from OSRAM (Sylvania) and have agreements with OSRAM Mexico to sell ILED technology exclusively in Mexico, as one example. Final agreements to move into Europe with the Polish investment consortium for exclusive manufacturing and distribution rights serving Western and Eastern Europe have been finalized. Also, Evolucia has now formed a subsidiary in Australia to market and manufacture Evolucia products in both Australia and New Zealand. Evolucia has finalized a partnerships with Leader Electronics for all of Asia, and has acquired Affineon Lighting, which will move us to indoor lighting. Last, Evolucia is now a "pure play" commercial LED lighting company.

    So, all of that sounds dandy and gets the old stock market blood pumping because it's exactly what Bubbba Gump investors want to hear, right? In order to avoid the slaughter house, however, we need a liberal dose of skepticism and research in order to decide if these partnerships, acquisitions, contracts, and awards can deliver concrete results for Evolucia's future survival and market dominance. (Note that while doing your own due diligence, you may come across older information where Evolucia seems to be connected with Sonovia. Sonovia is Evolucia's old name.)

    __

    BOARD OF DIRECTORS

    Mel Interiano (NYSE:CEO) is an accomplished lighting industry veteran. He worked for OSRAM SYLVANIA (the lighting division of SIEMENS) for 15 years. Mel was in charge of all international sales for OSRAM SYLVANIA where in just a few months, he broke sales records and created innovative business models for LED sales. More information: http://www.evolucialighting.com/about/leadership

    UPDATE:
    SARASOTA, Fla., Oct. 30, 2013 /PRNewswire/ -- Evolucia Inc. (OTCBB & OTCQB: ILED), an innovative global LED lighting solutions company, today announced that its Chief Financial Officer and Executive Vice President, Charles B. Rockwood, has resigned from the Company for personal reasons.

    Charles B. Rockwood (NYSEMKT:EVP) is Evolucia's Executive Vice President and Chief Financial Officer. Charles brings 25 years of financial and operational experience to Evolucia and has held CFO, COO and CEO positions with responsibilities that include financial management, mergers and acquisitions, business development, fulfillment, legal and compliance.

    Francis (Frank) J. Santiago is recently retired from OSRAM Sylvania as Executive Vice President & Global Head of Sales and joined the Evolucia Inc. Board of Directors in 2012. He has held senior-level and general management roles at Osram Sylvania Inc. More information: origin-www.bloomberg.com/apps/news

    Skip Sack joined the Evolucia Inc. Board of Directors in 2012. He currently serves on the Boards of six private companies, one public company and four non-profits, and is the former Chairman of the Board of the National Restaurant Association. He also serves on the Cornell University Council and Dean's Advisory Board of the Hotel School. Skip joins the Board with 50 years of experience in the restaurant and hospitality industry. Up until 2007, he was a member of the Applebee's Board of Directors. More information: http://www.evolucialighting.com/about/leadership

    Tom Siegfried has been a member of Evolucia's Board of Directors since 2010. He retired after a 25 year career in commercial and government new construction, renovation and historical restoration in the Washington D.C. area. Before retiring, he was a principal in a national construction company that specializes in governmental and municipal contracts. More information: www.evolucialighting.com/about/leadership

    Woody Smith has 35 years of lighting experience in design and implementation of lighting systems. He has held the following positions: Director R&D High End Systems (NYSE:USA), COO Martin Professional*,(Denmark), International Sales Coemar SpA (Italy), VP Engineering Hubbell Lighting, Founder Affineon Lighting, CTO Evolucia. More information: http://www.evolucialighting.com/about/leadership

    __

    PARTNERSHIPS

    SYLVANIA
    Actually, Sylvania hasn't really existed since 1993 when it was sold by its then current owner GTE. Since then, Sylvania was absorbed by three companies, OSRAM, Havells, and spun off as an independent in Australia.

    OSRAM
    There is no doubt about OSRAM as a "real deal" player, as it is a subsidiary of Siemens itself. You can do your own fundamentals on OSRAM if you wish, but suffice to say, OSRAM is a multi-billion dollar internationally entrenched company. It's been around since 1919.

    OSRAM SYLVANIA is the North American business of OSRAM AG of Germany, one of the world's largest manufacturers and part of the Siemens family of companies. The company manufactures and markets a wide range of lighting products for business and industry, consumers, for the automotive industry, and for the computer, aerospace and other major industries worldwide. It employs about 11,200 people in North America and is headquartered in Danvers, MA.

    OSRAM SYLVANIA has 22 manufacturing plants, one equipment assembly operation and twelve research and development laboratories, along with a network of sales offices and distribution centers serving all of the United States, Canada, Puerto Rico and Mexico. Most of the company's products are marketed in North and South America under the SYLVANIA or OSRAM brand name. OSRAM, headquartered in Munich, Germany, has over 35,000 employees and 53 production plants in 18 countries around the world. Over the last 10 years, this leading products company has gradually expanded its international presence while tripling sales and doubling its world market share.

    The global headquarters for Siemens also is in Munich, Germany, while the company's North American headquarters is in New York City. Siemens does business in the world electrical and electronics market. In addition to , some of the Siemens business groups are: communication and information systems; electric components; automotive and transportation; energy and power generation; medical electronics; and automation. Worldwide, Siemens has 426,000 employees in over 190 countries. (Source: http://www.sylvania.com/en-us/about/Pages/company-profile.aspx )

    OSRAM Mexico
    This is Evolucia's doorway into Mexico whereby OSRAM Mexico have agreed to further develop the Evolucia Aimed Optics technology, and to market it. (Source; http://www.prnewswire.com/news-releases/osram-mexico-and-evolucia-inc-announce-led-outdoor-luminaire-co-marketing-agreement-190839371.html )

    Poland
    This is a deal with a Polish entity to create Evolucia Europe. The deal is finalized and for the rights to manufacture and distribute Evolucia products in Europe, the Polish entity will pay Evolucia 11 million by August. (Source: http://www.reuters.com/article/2013/03/20/fl-evolucia-in-europe-idUSnPnCL80404+160+PRN20130320 ) Deals fall through, so watch this for movement.

    Here is additional and specific information about the Polish partnership from an email with Evolucia's Craig Hall:

    In 2008, SETE [Evolucia's Polish partner] identified LED lighting as an ideal and rapidly growing product offering for government sales. The reason they selected us at that time was because: (1) we had developed a proprietary high quality Aimed Optics prototype that was more efficient than any other product in the market; (2) we were one of the original companies to identify commercial outdoor and street lighting as a target market which is/was a nice fit into both municipal and federal channels; and (3) one of our significant investors is from Poland, and had relationships with this group.

    Over the last 4+ years, we licensed our trademarks (Sunovia, Evolucia, Aimed optics, etc.) to this group, and allowed them to operate independently within Poland as Sunovia Energy Technology, Inc. (our former corporate name) to develop distribution channels into the government and military markets for our products. As you can read from their website (sunoviaeurope.com), they piggy-backed our penetration of military bases and national awards with similar achievements in Poland/Europe.

    They used their relationships to establish numerous test sites for our street lights, including sites in Radom and Krakow, Poland. The test results have been unanimously positive, and the distribution channels are expected to grow exponentially over the coming months and years.

    As a result of the successful tests, this group came back to us requesting the rights to manufacture our products (rather than just purchase) in Poland for distribution into the European markets. We sold them these rights for $11 million, with the caveat that Evolucia, Inc. would have to own a controlling interest in the distribution entity; while the investment group would be allowed to own 100% of the manufacturing company. The agreement requires that they meet quality and favored nations pricing requirements.

    Australian Subsidiary
    Evolucia LDU Pty Limited, a wholly-owned Australian subsidiary of the Sarasota, Florida-based Evolucia Inc. You can also find this information on the Evolucia website, but I always like to triple check anything found on a company website. Call Evolucia to get more information about how far along this venture is. (Source: http://www.manmonthly.com.au/news/us-lighting-manufacturer-evolucia-sets-up-in-hobar)

    Leader Electronics
    Leader is a large Asian company and the exclusive partner taking Evolucia to Asia. (Source: http://www.prnewswire.com/news-releases/sunovia-energy-finalizes-partnership-with-leader-electronics-162865966.html). Leader Electronics website: http://leaderen.syis.com.tw/default.aspx

    __

    AQUISITIONS

    Affineon Lighting
    This is a product expansion effort for indoor lighting. (http://www.prnewswire.com/news-releases/evolucia-to-acquire-affineon-digital-lighting-204087281.html )

    __

    AWARDS AND CASE STUDY CONTRACTS

    *US Department of Energy
    Evolucia's LED Cobra Head SCHX5 was given the award for Best Outdoor Street Light, in its class, by the U.S. Department of Energy (DOE). . . ." (Source: http://seekingalpha.com/instablog/200555-qualitystocks/170330-sunovia-energy-technologies-inc-sunv-evolucia-cobra-head-wins-lighting-industry-s-top-award )

    *Military
    The U.S. Navy has successfully installed Evolucia Aimed LED cobra head street lights at the Souda Bay base in Crete, Greece.

    ( Source: http://www.prnewswire.com/news-releases/us-navy-installs-evolucia-aimed-led-lights-on-base-in-greece-104289453.html )

    Fort Buckley, CO

    (Source; http://www.bizjournals.com/prnewswire/press_releases/2011/05/18/FL03940 )

    Camp Lejeune, N.C.

    (Source: http://www.prnewswire.com/news-releases/marines-get-better-outdoor-light-and-cut-electricity-by-half-at-camp-lejeune-78222502.html)

    *Commercial

    Appalachian State and De Paul University
    (Source: www.prnewswire.com/news-releases/universities-find-evolucia-led-parking-fixtures-enlightening-176610181.html)

    As always, most things in life are based on conditionals, and that is how I will conclude my analysis of the next possible Bubba Gump of the LED market. If Evolucia's technology is as good as it seems (awards and commercial contracts point to that conclusion); and if the new management team, two of which are from OSRAM Sylvania, including the CEO, continue their successes into OSRAM markets as they have done in Mexico, along with their European, Asian, and Australian ventures; and finally, if Evolicia's technology continues to be superior, then Evolucia is set to become The definitive commercial international LED company. Commercial customers will buy technology that realizes the greatest return on their investment. Today, that technology is Evolucia's.

    Disclosure: I am long OTCPK:ILED.

    Additional disclosure: I took a small position in Mid November 2013 @ .016.

    Themes: RVLT Stocks: ILED, RVLT
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Comments (32)
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  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    Evolucia is a lighting fixture manufacturer and, as such, competes with many industry giants in Germany, Austria and Japan. From the functionality of their solutions (I can judge that to a certain degree, because we do CFD and reflectance research in-house when designing lights) and the visual design of their solutions, I am not sure if their products are that competitive; especially since they seem to use sub-par Osram LED technology in their products. Neither at Light + Building or Euroluce (the world's key lighting and lighting technology fairs) have I seen their products.

     

    At the end of the day, a light manufacturer selling into public space tenders for the taxpayer's money in Europe and Asia - therefore, the technical solutions have to compete on price and maintenance cycles and the design solution has to compete for the attention of city planners, architects and local councils, which are (maybe except in the U.S. and UK where quick product styling is favoured over proper industrial design), very forward looking and design conscious in most European and Asian cities.
    25 Jun 2013, 03:29 AM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » System

     

    They have their own patented LED technology, not just fixture manufacturer. The DoE has given them "most efficient" LED light awards. The crux of the analysis is based on their superior technology.

     

    If their technology is, indeed, inferior, then I'd very much like to see that information, since that would mean something is wrong.
    25 Jun 2013, 05:05 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » System,

     

    I'll try to get Craig hall in here to address your concerns.
    25 Jun 2013, 05:16 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    Never mind, it's not worth the time arguing about this one. European and Asian lighting design engineers and city planner architects are a fickle bunch ; )
    25 Jun 2013, 05:38 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » system

     

    If they can save money, they will do it. Replacing city lights with LED lights can save municipalities millions.
    25 Jun 2013, 06:05 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » System,

     

    I'd like you to simply offer comentary on Evolucia's technology, which is superior to all others, currently.

     

    As you have left it, all you have said is: "Markets are fickle." Of course there is always risk. You haven't addressed my core argument in the least: Good BoD making inroads in all parts of the world (ex OSRAM people) and superior technology.

     

    Sometimes I just don't understand your comments, at all. Other times, they make and give lots of sense and information, respectively.

     

    I feel like you didn't even read the article.
    25 Jun 2013, 06:09 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    I actually went through the Evolucia website, having never seen their lights installed somewhere. Replacing public and corporate lighting with LEDs is happening since years, nothing new here.

     

    I just very much favour other lighting manufacturers, other LED chip and LED optics manufacturers. I don't see Evolucia's product range offering anything particularly compelling and their products look rather styling than design oriented, which, in my book, is an absolute no-no for public or corporate environments.

     

    That's all I'd say - meaning: one can argue about this forever ; )
    25 Jun 2013, 06:54 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » System,

     

    You can't argue with superior technology though.
    25 Jun 2013, 07:01 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    Superiority is in the eye of the beholder.
    25 Jun 2013, 07:24 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » In this sense, it's in the eye of the US Department of Energy.
    25 Jun 2013, 07:47 PM Reply Like
  • Abu Bakr Hussain
    , contributor
    Comments (595) | Send Message
     
    Hi DWD, interesting article thank you, couple of questions.
    1) Just why does a $22m company have 1.1 billion in shares? The amount of shares it has is increasing by 100-200 million per annum also - why?
    2) The $11million Evolencia is getting - any idea of what they'll do with it?

     

    re: SA not publishing - they created a new policy recently

     

    "Effective today, in order to be featured as a primary focus of an article, a company needs to either trade for more than $1 per share or have a market cap of greater than $100 million. It is preferred, but not required, that the company meet both requirements. Of course, when covering a micro-cap company you should always note to readers the risks inherent in micro-cap investing". - SA Editor George Moriarty

     

    However - if you write about a company worth between $100-$5 billion, you can receive a small cap bonus of $125 - if the article is of sufficient quality. You'll probably have seen a lot of articles recently saying "XYZ is an attractive small cap pick" - that's because of the attractive pay check, not because it's an attractive small cap pick.
    25 Jun 2013, 04:53 AM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » Abu,

     

    Good questions. You know, I just assumed, like most start ups, the float was due to raising money to do their R&D and to start the company. This is a good question for Craig Hall. I'll see if i can get him to chime in.

     

    The 11m isn't a done deal yet. It looks good, but it's not completed--from my understanding. I haven't seen the contract, but I don't think they are contracted to go forward with the 11m. However, all of the details are done, so it can move forward. The money, from what I understand, will be injected back into their marketing and production. From what Craig said, which is in the article, almost all of ILED's resources were injected into R&D and almost none were marketing. With the new BoD and CEO from OSRAM, that focus has now changed.

     

    With all of the foundation that has been laid in the past year, I keep hearing the song "Kick Start my Heart" by Motely Crew (And I don't even listen to rock anymore):
    http://bit.ly/137bkze

     

    However, we know how these things "look" and how they "go."

     

    "You'll probably have seen a lot of articles recently saying "XYZ is an attractive small cap pick" - that's because of the attractive pay check, not because it's an attractive small cap pick.

     

    hahahaha that's funny, indeed.
    25 Jun 2013, 05:16 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » Just got this:

     

    Evolucia Inc.
    June 25, 2013
    Evolucia Inc. and Solarmax International S.A. Finalize
    Exclusive Agreement for Colombia Distribution

     

    Sarasota, FL and Bogota, Colombia June 25, 2013 /PRNEWSWIRE/-- Pure-play LED company, Evolucia Inc. (OTCBB & OTCQB: ILED) and Solarmax International have joined forces to take advantage of the 2012 U.S.-Colombia Free Trade Agreement by bringing Evolucia-branded high performance LED (light emitting diode) interior and exterior lighting solutions to this growing South American country. Several lighting projects are currently underway, including the installation of Evolucia's newest area lighting solution, the PAL 1000, in one of the main ports in Colombia. The PAL 1000 was the only LED product to meet the Port's stringent lighting requirements.
    25 Jun 2013, 05:18 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » I contacted Craig Hall from Evolucia. Hopefully he will chime in and answer concerns more effectively than I.
    25 Jun 2013, 06:05 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » This is Craig's email to me:

     

    Doug,
    Here is the answer for the Europe question:

     

    Please see attached link. As you can see, the Evolucia (fka Sunovia) luminaries have won awards in Europe, including an award for sustainability and an award for the best street lighting fixture at the international light fair in Europe.

     

    http://sunoviaeurope.com
    26 Jun 2013, 07:10 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    SAMSUNG LC026B enjoy 129lm/w http://bit.ly/17Do9D3 or CITIZEN Citileds (saw them at Euroluce in Milan) enjoy 137lm/W http://bit.ly/17Do9D5 SAMSUNG and CITIZEN have chips offering outstanding physical stability and thermal transfer capabilities at a rock bottom price. Next runner up would be NICHIA and then CREE.

     

    And, no, I am not an LED distributor : )
    26 Jun 2013, 07:31 PM Reply Like
  • New Investor25
    , contributor
    Comments (108) | Send Message
     
    Why have you not bought the stock?
    10 Aug 2013, 11:35 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » ---
    (1) Because my money would be sitting in a high spec without any movement. It's not volatile enough and liquid enough to trade yet, or invest.

     

    (2) The stock could reverse split. I hope they start making money and do a by back instead. If one wanted in now because one could get millions of shares, a huge reverse split, meant to get the price of the stock over 1 dollar to trade on the NASDAQ, could reduce one's overall shares so much that it would be better to wait for the split and then buy in after it dips, which reverse splits usually do.

     

    Unless you have the money to buy enough shares to trade the .0001 - .00001 changes in price, and make money, it would just be a waste of time.

     

    (3) Last, OTC markets can change drastically in their spread. You might get in at an ask of .21 and a bid of .22, and then the next week the ask will be .14 cents and the bid .21 still. Now there is no way to get out without a huge loss. OTC markets are risky on high spec. Some higher level stocks never move off of OTC and just stay there no matter what the price is. If they can do that, it's fine for them because they don't have to do quarterly SEC reports. At that point, you just have to accept whatever the company tells you.
    11 Aug 2013, 03:07 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » City of Pompano Beach, Florida Selects Evolucia's LED Cobra head Fixtures

     

    http://prn.to/13U371w
    26 Aug 2013, 04:42 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » Updated this article to show the resignation of ILED's CFO for "personal reasons."

     

    Also, Evolucia just had it's announcement and didn't take any live questions. You can read it here: http://bit.ly/18mha2y;FilePath=01319\... I had a chance to submit a couple of questions, one was answered, one was not. And I can understand, tentatively, why the question went unanswerable.

     

    First, the bad news. The CFO quite. That's almost never a good sign. It could be for "personal reasons" but I'm skeptical. I've tried to find additional information. I can't come up with anything.

     

    Second, the question that went unanswered is how will Evolucia get its float under control? At 1.2B it's far too large to move. I mean, it could move if Evolucia became a high revenue company, and in time the price would adjust upward, but 1.2B for a small company isn't going to move it (Note that Apple's float is 900M). This is important if Evolucia ever wants to trade on the NASDAQ, and they do want that. In other words, they will simply need to reduce float somehow.

     

    So, I can understand why they would pass on that question. In either case of float control, no company would want to announce strategy before the strategy is solidified. A reverse split would need to be massive to affect any sort of increase in stock price trading at .011 cents. Consider that if the SP were .50 they could offer a 2:1 split and it would immediately be 1.00 USD and qualified to run on the NASDAQ.

     

    That sort of a split wouldn't be too bad, but do the math on the same thing using .011 as a SP. 100:1 split would raise it to 1.10USD. That also means you would have 1 share for every 100 shares you own. So you're 100K shares just became 1K. Not too impressive. If Evolucia does announce a buyback program, they would buy back 80% of their float without too much capital, if they time it correctly.

     

    Currently, there are approximately 100M shares for sale at market for an average of approximately 2 cents. That's a little less than 10% of the total float. That would cost 5MUSD. At that rate, ILED's float could get controlled with as little as 30-40M. Of course that could be more or less depending on how much share price increases or decreases during the buyback period. If they had the capital to start a buyback before their projected sales increase, or before a substantial 8K or 10K profit report, shares could be substantially reduced for a minimum of capital, especially if ILED remains under the radar. Also, they only need to reduce float enough to get SP high enough to list on the NASDAQ. After that, Mr. Market takes over.

     

    We simply do not know how Evolucia will respond to its insane float. And in any event, financially, it is in no position to repurchase anyway. This point leads to the good news.

     

    Evolucia did answer one of my questions about a joint distribution venture for their European distribution effort. You can read about that above in the main article. In August, the deal was to be "finalized" upon which the Polish company would pay Evolucia 11M US to have exclusive rights to distribute Evolucia products. Well, we haven't heard anything about that deal and so I assumed it had fallen through. According to the latest announcement:

     

    "Also important to our business strategy are key partnerships in key global markets. In addition to Leader Electronics, our joint venture plans with Sunovia Europe remain in place. Although there has been a delay in the initial payment to Evolucia, we remain in close contact with our partners and continue to assist their efforts in generating specifications for future sales of our products. "

     

    Read the announcement, which is included in their latest 8K. There is some good news. Siemens and OSRAM are backing and selling Evolucia products.

     

    "Our co-branding agreement with Osram Mexico has allowed us to expand our participation in the Mexican public lighting market and has strengthened our Aimed Optics technology. Osram is fully supporting our Cobra Head product line and we are working together to introduce our generation II streetlight in the Mexican market under the same agreement. . . . Our other strategic distribution partner includes Osram and Siemens. As you all know, Osram is the second largest lighting company in the world. And Siemens has taken our Aimed Optics street lights and are bringing them to different cities in the US."

     

    Their distribution is taking shape. They have moved to an internal testing and manufacturing model, which will save them millions.

     

    " Also in our headquarters facility, I'd like to tell you that we're strategically bringing our U.S. manufacturing in house. This is an initiative to be able to control our quality, our process, and ultimately to optimize our gross profit margins.

     

    A decision was made by myself and the Board to bring it in house so we are not dependent on very expensive contract manufacturing rates."

     

    In conclusion, Evolucia seems to be doing what it needs to do. If they can actually monetize their past efforts, there could be huge growth. Of course, that's if everything is on the up and up. This is a very high spec equity. I messed up my entry point by being distracted with other trades, and I should have waited. However, SP was at a 52 week low when I took my position. Since I averaged in at .016 the price has fallen to currently .011, or around 31% in less than two weeks. This isn't necessarily a bad thing if Evolucia wants to buy back shares. If the average buy back price could get to 1/2 cent or less, a very effective buy back could result, and sooner than later.

     

    If you're wondering when, not if, to take a position, consider that the company must announce a buy back and the price is currently in virtual free-fall and a 52 week decline. There is no risk simplify waiting as there is no risk in the price mysteriously shooting up.
    26 Nov 2013, 03:37 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    The innovation and technology leaders of high-end consumer, industrial and automotive LED: Citizen, Sharp, Nichia, Osram, Cree, Philips - in that order. And then - nothing else comes close.
    26 Nov 2013, 04:44 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » That's completely false.

     

    I wish you would update yuor LED database knowledge with some research into Evolucia patents and the US DoE awards for most efficient LED light technology. OSRAM is selling Evolucia technology re-branded. The reason is that Evolucia has better technology than any other LED manufacturer.
    26 Nov 2013, 06:59 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    Ok, good luck with ILED, the NQ Mobile equivalent of lighting.
    26 Nov 2013, 08:08 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » LOL. Good one. Just look up their patents and awards from the US DoE. They have the most efficient LED lighting fixtures in the world currently.
    26 Nov 2013, 10:55 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » New media stuff:
    http://bit.ly/1cCfLaa
    7 Mar, 04:54 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » AKUTAN, Alaska, Jan. 9, 2013 /PRNewswire/ -- The Aleutian Islands stretch from Alaska's mainland to Russia's backdoor and are known for their harsh weather, excellent fishing and spectacular beauty.

     

    http://prn.to/1oFyi5c
    10 Mar, 12:10 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » Marsh Creek introduces EvoLucia Aimed LED Optics

     

    http://bit.ly/1cP1Urk
    10 Mar, 12:13 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » The CEO quit. No other press release by the company.
    Link to 8K
    http://bit.ly/Q0tVqI

     

    "On April 4, 2014, Mel Interiano resigned as the Chief Executive Officer and as a director of Evolucia Inc. (the “Company”). Mr. Interiano’s resignation was not a result of any disagreement with the Company on any matter relating to the Company’s operations, policies or practices. The Company is presently in search of a replacement Chief Executive Officer and expects to engage a replacement in the near future. Further, in an effort to restructure and generate cost savings, the Company has implemented a reduction in its workforce. The Company presently has adequate staff to maintain its operations including the assembling and shipping of its products. The Company intends for the reduction in workforce to be temporary although it cannot provide any guarantees that these employees will be engaged again in the future, which such engagement will be based on need. "

     

    And that's all it says. I would not be surprised to see a BK or chapter 11 any day now--without any other information. Evolucia currently has no CFO or CEO. Another superior technology bites the dust. Score another one for market economies. I think the CEO just exhausted his avenues to generate sales.

     

    This is just my opinion and could be completely wrong. I have no secret information. And, I really do hope I am wrong.
    8 Apr, 03:51 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    I was at Light + Building in Frankfurt last week, to discuss things with Citizen, Nichia, et al. From the start, I knew this was a failing business with zero technologic advantage.
    8 Apr, 05:41 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » Maybe failing, but you'll have to argue the technology part with the US Department of Energy, et al. If you can show me where their study is flawed, you'll have me.
    9 Apr, 09:45 AM Reply Like
  • Andreas Hopf
    , contributor
    Comments (7877) | Send Message
     
    No need to study studies. I know many people in the lighting industry, I attend the fairs and conferences, yet nobody ever heard of them.
    9 Apr, 07:43 PM Reply Like
  • dwdallam
    , contributor
    Comments (6608) | Send Message
     
    Author’s reply » This blog is so old and outdated I'll be deleting it shortly anyway.

     

    The last time I talked with the Craig Hall, co-founder, and others at Evolucia, the problem they said, even though at at 40-60% energy savings over other entrenched lighting systems, mainly HPS street and parking lights, the initial cost outlay was too high, even though it would pay for itself in 7 years. That, and other lighting manufacturers, like Phillips,make a lot of money off of municipalities selling them replacement bulbs every few years. That means Siemens and Phillips are not going to market the product for Evolucia, and Evolucia must do it all itself.

     

    The product is quality and real, the market isn't accepting of it for those two reasons. The end result is even though the technology is real and proven, they can't sell it--they did a few conversions in Florida, however.
    9 Apr, 11:05 PM Reply Like
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