Borislav Tonev

CGrowth Capital Inc (OTCMKTS:CGRA) Reaches a New 52-Week High

by Borislav Tonev March 29, 2016

Last week, Bill Wright, CGrowth Capital Inc (OTCMKTS:CGRA, CGRA message board)'s CEO, was interviewed by a website called CEOLIVE.TV. Mr. Wright failed to say a few things that investors looking to put their money on the line would probably like to know.

He didn't say, for example, that the company has issued a total of 108 million shares at $0.0005 apiece. He also failed to mention that a further 40 million shares have seen the light of day at $0.0006, and he didn't say that another 17.5 million shares were issued at $0.002 a pop. He also failed to note that all these shares were issued as a conversion of debt and that they're all unrestricted.

Mr. Wright said nothing about the latest financial statement as well. It looks like this:

  • cash: $3 thousand
  • current assets: $183 thousand
  • current liabilities: $1.9 million
  • quarterly revenues: $18 thousand (an 87% drop on a year-over-year basis)
  • quarterly net loss: $118 thousand

The interview didn't contain any information about the default notice that was issued by a lease owner in Chewelah, Washington during the third quarter of last year. Basically, Mr. Wright failed to tell investors that, at first glance at least, his company isn't in a terribly good shape.

As a result, CGRA has been climbing the charts over the last few sessions. The interview came out on March 22 and it pushed the ticker from just over $0.003 all the way to a hair under $0.007 in a matter of just two days. A consolidation followed on Thursday, but after the long weekend, CGRA came back stronger than ever. Yesterday, it managed to rack up a dollar volume of around $160 thousand and after almost doubling its value, it came to a close of $0.0115 – a new 52-week high.

So, investors seem pretty excited about the future and, having gone through Mr. Wright's interview, we can see why. CGRA's CEO said how he came to be involved with the company, he put out quite a few optimistic revenue projections, and he also noted that the company has already received some money under a previously announced bond offering. He also said that he's not allowed to disclose the amount received or the name of the underwriter.

As always, it's up to you to listen through the whole interview and decide whether you should trust Mr. Wright with your money. Make sure you don't forget the millions of cheap shares that we talked about in our second paragraph, though.

Comments 3

1. Guest
May 19, 2016, 12:30PM

Quotes Why has the CEO spent so much money on Stock Promotions if he touting big dollar Deals? Something isn't adding up.

So the CEO has spent how many thousands of Dollars on Stock Promotions in the last 3-4 years and still doesn't have any Audited financial?

2. Guest
May 19, 2016, 12:21PM

Quotes Wrong. CGRA doesn't have any current Audited SEC Filings

3. Guest
March 29, 2016, 10:07AM

Quotes Article is horrible and filled with just as many as wholes as u claim as the interview. Such as, simple math says that if what u are claiming is true Cgra would be 66 million shares over the authorized amount of 500 million. The shares u are talking about in the article were issued back in 2014. CGRA up to date on everything unlike the writer of this article!

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