Friendable Inc. (OTCMKTS:FDBL) Recovers Some More Ground
Friendable Inc. (OTCMKTS:FDBL) Managed to add another 10% to its market value in yesterday’s session, stopping just shy of the $0.02 mark. Will it be able to cross that threshold in today’s trading?
Well, such a turn of events certainly seems likely at this point, especially seeing as how the ticker has slowly recovered most of the ground it had lost during its latest crash. Currently, FDBL‘s once more looks significant. However, that state of developments does not look like it could last for a very long time.
The company seems to have the investors’ attention, and the enthusiasm and support of more than a few of them – even though it has shown investors very few reasons for excitement.
The company’s achievements to date include its app being downloaded more than 10 thousand times. But less than 50 thousand, which is the next milestone. The app itself is rated 3.7 out of 5 stars, and a quick look at its reviews reveals that, according to its users, it is far from flawless.
So far – so good, as the old saying goes. Except that, no, the situation does not look good at all. And unfortunately, it only gets worse as you delve deeper into FDBL‘s affairs.
The company’s overall financial situation is far from enviable:
- Cash – $15 thousand
- Total current assets – $222 thousand
- Total current liabilities – $1.7 MILLION
- Annual revenues – $151 thousand
- Annual net loss – $3.2 MILLION
And while said numbers paint a grim picture, FDBL‘s lack of commercial success is far from the biggest red flag that investors should take into account. No, that would be the threat of toxic dilution.
A quick check reveals that nearly half a million dollars of the company’s debts are in the form of notes issued and outstanding. The majority of those notes can be converted into shares of FDBL common stock at rate of 50% of the lowest sale price 15 to 25 days before conversion.
So, let’s recap. FDBL is a company in a dire financial situation, with very few achievements to its name and quite a bit of toxic debt in its filings. Investors should take all of those details into account, and act accordingly.
