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Cielo Waste Solutions: Related Party JVs Mask Financial Vulnerability


  • Cielo claims it has funding through Joint Ventures with a related party known as Renewable U Energy whose founders concurrently ran Cielo IR in exchange for millions in Cielo equity.
  • We uncover evidence that RUEI is financially weak – it's currently struggling to raise a meager $1.5m, indicating the $150m necessary for the first JV facility is out of reach.
  • Cielo’s inability to attract funding and a credible partner (RUEI’s ex-CEO previously managed car dealerships) suggests it’s unlikely to hit commercialization or profitability.
  • Recent stock strength, fueled by a Canadian money-manager whose analysis contains incorrect assertions, contributes to the illusion that Cielo is near commercialization. Expect shares to return to pre-hype levels 90% lower.

Empty Gas Tank Gauge
Photo by filo/DigitalVision Vectors via Getty Images

Cielo Waste Solutions (OTCQB:OTCQB:CWSFF) ("the Company") is a $600m (Note: all figures in Canadian dollars) Vancouver-based producer of renewable diesel. Cielo shares are up 1000% since the beginning of February 2021 on the belief that Cielo is on the

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Trader/Investor with credit and equity background. Interested in sharing investment ideas (long and short) and engaging with other investors. Appreciate all feedback.

Analyst’s Disclosure: I am/we are short CWSFF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.

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