Anyone Else Buy Some Shares?

[TeamCoconutOreo]

Hi there Ellen. I am in for 100 all - in and 50 shares of stock $600.

what he said!

 

[Bill Hirst]

Thanks for the explanation of whats to be expected. with this stock offering. Its unfortunate that prior to the sale emails from Elio were frequent and optimistic in regard to the sale stating the possibility the offering had been "oversold" I suppose Elio is prohibited from making any statements in regard to the progress of the sale until they satisfy whatever is required in terms of shares sold. That said the total silence from Elio in regard to the progress of the sale is absolutely maddening. I feel the concept for an American made vehicle that can provide inexpensive transportation to buy and operate is brilliant and I want to see this come to be. So much that I have invested a lot of my savings into this stock offering in the hope the car will become a reality and the stock will grow in value

 

[Chris F]

Shame on me for not understanding how this sale was going to proceed. I assumed when they said the stock would be sold to the public it would be like an IPO. That means Elio would be given a trading symbol and put on an exchange where it could be bought and sold. This seems not to be the case. It seems we have bought this stock for the purpose of financing Elios building and testing of prototypes unless Elio plans to turn these shares into what I would consider real shares in the company my fear is we have just made a loan to Elio which for the life of me I can;t see how we will ever be able to sell our shares. Owning something you can't sell means its worthless. Would be nice if Elio gave us some sort of explanation of what we can expect for our investment. With any luck I'm just not understanding how this stock deal is supposed to work hopefully Elio will tell us something as the suspense is killing me.

Per the offering circular, once the offering is closed, Elio is going to list the shares on the OTCQB. At that point, you'll get the symbol. Under Reg A+, the shares are unrestricted. You obviously didn't read the information.

 

[Chris F]

Thanks for the explanation of whats to be expected. with this stock offering. Its unfortunate that prior to the sale emails from Elio were frequent and optimistic in regard to the sale stating the possibility the offering had been "oversold" I suppose Elio is prohibited from making any statements in regard to the progress of the sale until they satisfy whatever is required in terms of shares sold. That said the total silence from Elio in regard to the progress of the sale is absolutely maddening. I feel the concept for an American made vehicle that can provide inexpensive transportation to buy and operate is brilliant and I want to see this come to be. So much that I have invested a lot of my savings into this stock offering in the hope the car will become a reality and the stock will grow in value

You should never invest "a lot of your savings" in any one stock. Elio is saying what it can under the law. The federal securities laws have substantial restrictions on what the company can say in the middle of an offering. For example, if Elio said that it had "$X in escrow," they would be required to stop selling until they file another amendment with the SEC and then circulate that amendment to all the subscribers.

 

[Rob Croson]

Its unfortunate that prior to the sale emails from Elio were frequent and optimistic in regard to the sale stating the possibility the offering had been "oversold"

With $45M in "expressed interest" for only $25M worth of stock, I think a lot of people were expecting the stock to be snapped up before the pre-sale ended. The fact that it didn't means that a LOT of that money never materialized. The "7 day window" for the presale close 15 days ago. It's been almost an entire month now (27 days since the pre-sale started), and they still haven't hit the $25M. If they had, they would have announced the closing of the sale. Every day that goes by, it's becoming more and more obvious that a very high percentage of those "expressions of interest" really had no interest at all in buying the stock. Even the supposedly typical 50% conversion of interest-to-investment is apparently pretty over-optimistic.

I suppose Elio is prohibited from making any statements in regard to the progress of the sale until they satisfy whatever is required in terms of shares sold. That said the total silence from Elio in regard to the progress of the sale is absolutely maddening

We've been told that they are not allowed to make any kind of progress announcements. And if the sales aren't doing as well as hoped (which I think is the case), then they definitely would not want to announce it, even if they were allowed to do so.

Popular opinion is that they have already hit the minimum $12.5M required to do a closing (and apparently they can have multiple closings over the course of the sale), and issue stock. EM needed the $12.5M to build/test the 25 E-series vehicles. The assumption is that since they announced the starting of the E-builds, that they managed to sell enough stock to cover that.

Given how long they have been selling, I am wondering if the are going to have enough interest to hit the full $25M.

Anyway, we will see what happens when it happens. As long as they get the money they needed from the stock sale, we'll just keep on chugging along.

 

[Chris F]

With $45M in "expressed interest" for only $25M worth of stock, I think a lot of people were expecting the stock to be snapped up before the pre-sale ended. The fact that it didn't means that a LOT of that money never materialized. The "7 day window" for the presale close 15 days ago. It's been almost an entire month now (27 days since the pre-sale started), and they still haven't hit the $25M. If they had, they would have announced the closing of the sale. Every day that goes by, it's becoming more and more obvious that a very high percentage of those "expressions of interest" really had no interest at all in buying the stock. Even the supposedly typical 50% conversion of interest-to-investment is apparently pretty over-optimistic.


We've been told that they are not allowed to make any kind of progress announcements. And if the sales aren't doing as well as hoped (which I think is the case), then they definitely would not want to announce it, even if they were allowed to do so.

Popular opinion is that they have already hit the minimum $12.5M required to do a closing (and apparently they can have multiple closings over the course of the sale), and issue stock. EM needed the $12.5M to build/test the 25 E-series vehicles. The assumption is that since they announced the starting of the E-builds, that they managed to sell enough stock to cover that.

Given how long they have been selling, I am wondering if the are going to have enough interest to hit the full $25M.

Anyway, we will see what happens when it happens. As long as they get the money they needed from the stock sale, we'll just keep on chugging along.

I understand the frustration. At this point, we have no idea how much of the offering has been subscribed. However, since Elio said it would be able to go ahead with the E-Series builds, I am assuming that it has at least enough cleared subscriptions to break escrow with the $12.5 minimum before December 31, 2015. That is just an assumption on my part, but I can't believe their securities counsel would have let Elio announce that unless it had at least the minimum in cleared subscriptions.
I believe (again, without backup) that the pre-sales did not materialize for 3 reasons: (1) the minimum subscription was raised to $600 and a lot of people were priced-out at that level; (2) there was a substantial pro[portion of spoofed "expressions of interest"; and (3) some people just got cold feet from all the negative stuff you see on the internet. Since Elio was really the first Reg A+ done for a real company (not a shell), both the SEC and startengine had a stiff learning curve.

 

[Chris F]

Remember that Elio needs only $12.5 MM by December 31 to break escrow. If it does that, I think Elio has until March 31, 2016 to sell the balance. IMHO, if Elio breaks escrow, that will encourage others sitting on the sidelines to get in. In the securities business, we say that no one wants to be the first dollar in, they wait to see who takes the plunge first, then decide if they want to swim. We also say that, at the end of the day, its still hard to get someone to write the check.

 

[Manitoid]

I bought 100 shares in the public offering.

 

[Rob Croson]

However, since Elio said it would be able to go ahead with the E-Series builds, I am assuming that it has at least enough cleared subscriptions to break escrow with the $12.5 minimum before December 31, 2015. That is just an assumption on my part, but I can't believe their securities counsel would have let Elio announce that unless it had at least the minimum in cleared subscriptions.

Based on the way they announced, I have to agree that it's almost certain that they got their minimum.

I believe (again, without backup) that the pre-sales did not materialize for 3 reasons: (1) the minimum subscription was raised to $600 and a lot of people were priced-out at that level; (2) there was a substantial pro[portion of spoofed "expressions of interest"; and (3) some people just got cold feet from all the negative stuff you see on the internet. Since Elio was really the first Reg A+ done for a real company (not a shell), both the SEC and startengine had a stiff learning curve.

The changing of the minimum pledge from $250 to $600 probably did knock a few people out of the running. But let's face it: With 11,000 people expressing interest, how many of them intended to buy, and only wanted between $250 and $600, and didn't want to up their minimum to the $600 level? If it was 1,000 people (which I think is probably pretty unrealistically high), that's only $250K.

As for parts 2 and 3, these are probably a big part of it. Also, I understand that non-US citizens could express interest, but not actually invest? And someone commented that quite a few people probably signed up just to follow the progress, without ever intending to invest at all.

In any case, it definitely is a learning curve. When more of these get done, it would be interesting to see some comparison of the results. The original crowdfunding via Kickstarter/Indiegogo, etc., doesn't have a "testing the waters" phase, so I don't think anyone really has any good idea of how to gauge how much follow through there will be. According to EMs results, I would think that 50% is way too ambitious. In 13 days or so, we'll find out one way or the other.

 

[karl]

As an act of faith and support rather than any dream of striking it rich...