Maybe I'll wait a bit before buying


In a salute to trend-grabbing entrepreneurs everywhere, Hempamericana files an S-1. The industrial hemp firm plans to sell 34M shares to the public via a self-underwritten best-effort offering @ $0.12 per. Shares will trade on the OTCBB if a market maker agrees to pick up the issue.

The company's sole employee is CEO Salvador Rosillo. He intends to use the ~$4M proceeds to execute his business plan of developing, manufacturing and marketing hemp-based products.

Potentially undermining his plan's robustness is the statement on page 5 concerning the use of the proceeds: We intend to use the net proceeds to us for working capital and other general corporate purposes, however we do not have any specific uses of the net proceeds planned.

The firm's balance sheet shows assets of $100.

Further complicating matters is Mr. Rosillo's Chapter 7 bankruptcy a few years ago.

Although not in the medical cannabis arena, industry followers still should find Hempamericana's filing an interesting read.

(MDBX) (HEMP) (TRTC) (MWIP)

Comments (33)
  • barnsey
    , contributor
    Comments (319) | Send Message
     
    Well, at least Rosillio is forthcoming about his biz plans... most companies would list all the earmarks they have for the capital raise, then pay themselves a Christmas bonus. It's no coincidence that underpriced secondary offerings happen most often in November~December.
    7 Apr 2014, 02:44 PM Reply Like
  • roundplanet
    , contributor
    Comments (10) | Send Message
     
    That's funny. I got an idea too.
    7 Apr 2014, 03:05 PM Reply Like
  • kingology
    , contributor
    Comment (1) | Send Message
     
    "If Salvador Rosillo, our President and Director, should resign or die, we will not have a Chief Executive Officer that could result in our operations suspending. If that should occur, you could lose your investment."

     

    "We are extremely dependent on the services of our president and director, Salvador Rosillo, for the future success of our business. The loss of the services of Salvador Rosillo could have an adverse effect on our business, financial condition and results of operations. If he should resign or die we will not have a chief executive officer. If that should occur, until we find another person to act as our chief executive officer, our operations could be suspended. In that event it is possible you could lose most if not all of your entire investment."

     

    Umm... hilarious.
    7 Apr 2014, 03:05 PM Reply Like
  • ConservativeOutperformer
    , contributor
    Comments (726) | Send Message
     
    Here are some highlights from the filing....

     

    'Our cash balance is $100 as of April 7, 2014. Our cash balance is not sufficient to fund our limited levels of operations for any period of time.'

     

    'To showcase just how valuable and useful hempcrete can be, and thus encourage buyers and future investors to take the idea and value of hempcrete seriously, the company plans to build and create a house made entirely out of hemp-based materials. This property is owned by the company’s sole officer and director Salvador Rosillo and located at 30 Vernon Avenue, Brooklyn NY 11206. This structure will be made entirely out of hempcrete while the interior will be furnished using products that have all been created through the use of hemp. The company has no definitive timeline, at this point, for the completion of this project or has even taken steps to begin the project. The company also must first level the existing structure on this land. There will be no costs or associated fees to the company from the acquisition of this property. Our sole officer and director, Salvador Rosillo owns this property and is providing it at no cost to the company. However, any modifications and alterations to this property will be at the expense of HempAmericana.'

     

    'Currently, Mr. Rosillo has the flexibility to work on our business up to 25 to 30 hours per week, but is prepared to devote more time if necessary'

     

    'NAME AGE POSITION
    Salvador Rosillo 77 President, Chief Executive Officer, and Director'

     

    That was fun....
    7 Apr 2014, 03:08 PM Reply Like
  • belgium
    , contributor
    Comments (1368) | Send Message
     
    Why drag the TRTC ticker into this?
    7 Apr 2014, 03:19 PM Reply Like
  • kook151
    , contributor
    Comments (2) | Send Message
     
    Exactly. What does TRTC have to do with this?
    7 Apr 2014, 05:06 PM Reply Like
  • fidelissemper
    , contributor
    Comments (194) | Send Message
     
    Hey can't blame the guy...it's all the rage now. He wants to build himself a new house and this is his plan. He is not the first to put Hemp in a name to make people notice it and he got patriotic with his choice as well. Meanwhile in the real world....
    7 Apr 2014, 03:46 PM Reply Like
  • shakazoid
    , contributor
    Comments (246) | Send Message
     
    At least something to lighten up the mood on a gloomy day like today
    7 Apr 2014, 03:51 PM Reply Like
  • User 19741961
    , contributor
    Comment (1) | Send Message
     
    Hemp is still a great buy at this price. In long run it would pay off.
    7 Apr 2014, 04:01 PM Reply Like
  • andyteleco
    , contributor
    Comments (2) | Send Message
     
    LOL

     

    So I understand the guy wants to build himself a house made of hemp at the company's expense and s looking for funding since he only has $100 available.

     

    I really hope no one puts any money into this, but I'm afraid a big number of people will.
    7 Apr 2014, 04:02 PM Reply Like
  • GlennLangohr
    , contributor
    Comments (142) | Send Message
     
    Why is TRTC grouped into this? Must be market makers wanting to get in cheaper. Terra Tech is the best in the sector by far. They will be over 2 bucks shortly as all the evidence points to them. Out
    7 Apr 2014, 04:08 PM Reply Like
  • jesse55jp
    , contributor
    Comments (21) | Send Message
     
    No time soon. .
    7 Apr 2014, 06:03 PM Reply Like
  • metaltiger
    , contributor
    Comments (2) | Send Message
     
    I agree I think the market makers are trying to get TRTC & MWIP on the cheap. Everybody knows HEMP is a joke. These are the cream of the crop MWIP bought another 80 acres today with a well. If you are a certified grower they are willing to loan $500,000, low down payment, low interest for 5 years. They have money and they are making money. I don't mind the M&Ms running the price down. I will be real happy to buy more on the cheap.
    9 Apr 2014, 04:53 PM Reply Like
  • fritzkat
    , contributor
    Comments (12) | Send Message
     
    I am actually intrigued by the rest of the filing.. that actual cost to go public is nominal. I thought would be 300k to 1.5 mil. am I missing something here ? what would be the cost to have a market maker quote the stock prices?
    7 Apr 2014, 04:21 PM Reply Like
  • esseme
    , contributor
    Comments (3) | Send Message
     
    why dragging $HEMP ticker into this? no editorial oversight.
    7 Apr 2014, 04:43 PM Reply Like
  • wcapital
    , contributor
    Comments (57) | Send Message
     
    Hey, at least they're filing an S-1....if they manage to get it effective and become a reporting company and pass muster to get a ticker symbol, they'll be more credible than many companies - assets, operations and revenues or not! They'll at least have some hard assets if they complete their offering...unlike these guys: http://bit.ly/1mUIH0l (one of them hasn't filed reports w/ SEC for 5 years, the other has <$100 cash and $6k total assets to go w/ total liabilities > $1.8mm.....but combined market cap of almost $35mm!)...
    7 Apr 2014, 05:23 PM Reply Like
  • trabob
    , contributor
    Comments (1845) | Send Message
     
    Not sure what the purpose of this was, but if it works (goes public) I would hope at least some of the proceeds go to make a single pay life insurance policy on him, with stockholders named beneficiary, come to think of it maybe make all these over the counter penny stocks that way
    7 Apr 2014, 05:59 PM Reply Like
  • Catsrevenge
    , contributor
    Comments (156) | Send Message
     
    Notice that the author of this article is "The Invisible Man" ! And absolutely,I concur,buy TRTC. Behind Derek Peterson and his staff,TRTC is the shining star in the emerging MJ sector. With Edible Garden,Grow-Op, and many new contracts and partnerships being formed day by day,TRTC is about to make history in 2014. Of all the so called pink sheet,OTC,pennies,TRTC is the most up front and transparent, that`s a winner to me,IMO. April 16 2014 TRTC is holding a Meet n Greet in Belvidere,NJ. Anyone is welcome to go check out their greenhouses which are up and running,producing non GMO Herbs,Spices,and Vegetables,with recent distribution contracts with Cooseman`s at Bronx,NYs Hunts Point Market,which also is distributing Terra Tech (OTCQB:TRTC)s Edible Garden produce throughout the east coast US. Also they have just announced today,a partnership which will also distribute to /reach the mid west as well.

     

    In addition, Terra Tech`s CEO, Derek Peterson,Alan Brochstein and others will be appearing on April 17 2014 at Pier 61 for the NYC 420 Investor Dinner.

     

    http://bit.ly/1qhBrsI

     

    I am long TRTC
    7 Apr 2014, 10:41 PM Reply Like
  • petenebraska
    , contributor
    Comments (85) | Send Message
     
    "We have not generated any revenues to date and our activities have been limited to developing our business and financial plans. We will not have the necessary capital to develop or execute our business plan until we are able to secure financing. There can be no assurance that such financing will be available on suitable terms. Even if we raise 100% of the offering, we may not have sufficient capital to begin generating substantial revenues from operations.

     

    We believe we need to raise $2,040,000 to execute our business plan over the next 12 months. The funds raised in this offering, even assuming we sell all the shares being offered, may be insufficient to commercialize our intended service offering or develop our business strategy."

     

    ....is this a joke? It's as if someone filed this to demonstrate that ANYONE can raise money in the MJ sector simply by using the name?!

     

    This is even more disturbing: http://bit.ly/PYB4rO ...don't hover too long, you might end up buying some Geico insurance...

     

    I have completed my due diligence on this company. Good luck to all investors/traders...
    ~Pete
    8 Apr 2014, 09:29 AM Reply Like
  • Mr G
    , contributor
    Comments (63) | Send Message
     
    HERE IS WHAT TRTC HAS IN COMMON-- CEO/FOUNDER QUOTED AS SAYING IN MOST RECENT FINANCIAL REPORT "We believe our existing and available capital resources are sufficient to satisfy our funding requirements through the FIRST quarter of 2014. We are evaluating various options to further reduce our cash requirements to operate at a REDUCED rate, as well as options to raise additional funds, including loans and sale of common stock." THEY ARE BOTH GOING OUT OF BUSINESS AND WILL TAKE YOU GUYS WITH THEM!
    8 Apr 2014, 09:54 AM Reply Like
  • belgium
    , contributor
    Comments (1368) | Send Message
     
    Yeah right, you are missing a lot of the picture it seems. TRTC is going for their first profitable quarter...

     

    And that is without MJ...
    8 Apr 2014, 10:00 AM Reply Like
  • 850enthusiast
    , contributor
    Comments (3) | Send Message
     
    Interesting how he's an artist, writer, and use to work for a gold mining company. But I don't feel persuaded enough to look into this company (for now).

     

    I'll stick with Terra Tech & Mediswipe as those two I see having the most potential.
    8 Apr 2014, 10:34 AM Reply Like
  • Catsrevenge
    , contributor
    Comments (156) | Send Message
     
    @MrG > Hempamericana looks shadily risky and doesn`t sound promising at all. Terra Tech (OTCQB:TRTC) on the other hand is on a very solid trajectory upward and forward,with a very transparent,resourceful management team which is already doing everything in its power to catapult this emerging shining star of a company into being a profitable entity and which does by the way have a very solid business model. TRTC is already a success and there`s nothing that all of you naysayer/short sellers out there can do to change that,given all the positive momentum they continue to have.
    8 Apr 2014, 11:41 AM Reply Like
  • b1homann
    , contributor
    Comments (2) | Send Message
     
    And don´t forget Inergetics (OTCQB:NRTI) partnering with TRTC.
    Inergetics is doing all the right things!
    8 Apr 2014, 03:27 PM Reply Like
  • metaltiger
    , contributor
    Comments (2) | Send Message
     
    The name says it all. Do your due diligence. I purchased ADXS Feb 2010, just announced IPO. I purchased APPY Feb 2010, just announced IPO. I purchased Cannabis Medical Solutions Feb 2010, now Medi-Swipe. I am long on all three.
    9 Apr 2014, 12:52 AM Reply Like
  • DGI_Wolverine
    , contributor
    Comments (48) | Send Message
     
    It's pieces like this that are making SA lose more credibility each and every day. TRTC is widely considered to be one of the premier potential Cannabis stocks for the future and is currently executing a business plan that does NOT include MJ yet, while preparing to do so if legalization occurs. The focus on the article is the laughable sec filing, which has zero relevance to TRTC, yet SA editors either do not have the proper knowledge to realize that or just purposefully decide to allow the misleading information to be printed. Either scenario is unacceptable.
    9 Apr 2014, 08:10 AM Reply Like
  • petenebraska
    , contributor
    Comments (85) | Send Message
     
    Agreed, and well-stated Wolverine. Do the editors have any explanation for their actions in this or any similar instance?
    9 Apr 2014, 09:03 AM Reply Like
  • Catsrevenge
    , contributor
    Comments (156) | Send Message
     
    Terra Tech Fox News Video Link 4/16/14 >>>> Very impressive,Terra Tech one of the top emerging legitimate MJ companys in the sector,with solid management behind them.

     

    http://yhoo.it/1bPEWlB;_ylt=A2KLqIBVaE9TjFIA...
    17 Apr 2014, 01:53 AM Reply Like
  • Catsrevenge
    , contributor
    Comments (156) | Send Message
     
    http://yhoo.it/1bPEWlB;_ylt=A2KLqIBVaE9TjFIA...
    17 Apr 2014, 01:54 AM Reply Like
  • Catsrevenge
    , contributor
    Comments (156) | Send Message
     
    The Street Interviews Terra Tech CEO Derek Peterson 4/16/14

     

    http://yhoo.it/1r1Gy0w
    17 Apr 2014, 02:04 AM Reply Like
  • Kaiserdog76
    , contributor
    Comments (166) | Send Message
     
    $TRTC and $MWIP have no business being listed with the chop shop snake oil sellers.

     

    $TRTC Open house showed me literally everything I needed to see as an investor to sleep well at night. Derek is Bankable and has the company on a profitable future.
    23 Apr 2014, 03:16 AM Reply Like
  • trabob
    , contributor
    Comments (1845) | Send Message
     
    this is ridicules, to think if I had $100 I could start a company and sell stock apparently with enough stock to bring in $4 million, talk about a return wow, I need to consider opening a business in pot, hmmm OK I have it, a "tester" or "effect tester" and my company employee's will test all the varieties to rate them as to high levels of each variety, taking applications, the pay not good but great benefits, anyone want to help me open this great pot company?
    29 May 2014, 12:40 PM Reply Like
  • mmangen9@gmail.com
    , contributor
    Comments (51) | Send Message
     
    Free snacks?
    4 Jun 2014, 11:11 PM Reply Like
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