GMVD Nasdaq, page-63

Hi HonyakuKonyaku

You raise another interesting point, and in general is more about the BS fluffy announcements Gmed has made during its life. All talk and no substance.

In regards to the university hospitals deal, I have been pushing Gmed on this for quiet sometime. As we all know this was to increase patient numbers three fold or by about 84,000 per year. On my numbers and using an average patient price of $220, this deal alone could be generating about $18m a year in revenue. Gmed also put out a release back in August stating that the IDTF business processed 4,000 patients during the month of July 2020. Again using an average price of $220, by the companies own announcements that’s $880k a month or $10m a year in revenue.

We all know this has turned out to be complete BS. So what happened?

After many emails to Gmed staff and directors I finally got a response from the Chairman Kenneth Melani who stated that the university hospitals deal and all the other distribution agreements were subject to raising additional capital from the Nasdaq IPO. Basically Gmed had no capital to execute these deals. He pointed me to the balance sheet and $650k c note deal in April that the company had no money to fund growth.

So, IMO don’t expect revenue to increase when the company releases June 30 numbers. The best we can hope for is an update on these deals and agreements. Now the company has the capital, as per Kenneth, the company should be able to execute these deals. This is evident from the fact the prizma is available on the Livecare website and network. He also pointed me to the FWP and the fact the company is using the IPO funds to growth the business vis the university hospitals deal, Livecare and Oschsner Health. All are mentioned in the F1.

I have also been communicating with the new IR Kevin. He tells me that the company will not be holding a conference call and the update “may” include an update on business activities. He also tells me Gmed is targeting some healthcare investor conferences in September.

Again, it’s all talk until we see come cash in the bank. I remain hopefully that the company has pull a rabbit out of a hat and increase revenue. If it can we should see a significant rerate of the share price just in time for pie shares to come out of restriction.