quotes delayed at least 15 minutes, all others at least 20 minutes. No forward-looking statement can be guaranteed. I am not receiving compensation for it (other than from Seeking Alpha). See the 3rd party verified return on each of our bearish reports over the last 24 months at: https://breakoutpoint.com/as-summary/white-diamond-gvmtg/To inquire about becoming a premium subscriber, send a PM here or email us at research@whitediamondresearch.com.Follow us on twitter @whiteresearch. However, there are still some Metamaterial shares available in Canada. The company it's combining with, Metamaterial, has no interest in TRCH's business or assets. Please. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended. From here, we believe we can now comfortably support our near and long-term growth initiatives, said Ken Rice, CFO and EVP of Meta Materials. As Cathie Wood stated in the last ARK webinar, she is anticipating a bifurcated V-shaped recovery which will reward companies that have invested in innovation rather than in pandering to shareholders. On April 30, the company disclosed that it inked an agreement with a fund named Lincoln Park Capital to sell shares for up to $20.8 million. Merger Metals LLC has over 40 years of Industry Experience. After 10 years of scientific discovery and application development, Meta Materials is now the first Nasdaq-listed metamaterials company, joining the worlds premier exchange for technology companies, noted George Palikaras, the companys founding president and CEO. Metamaterial closed at only $0.58 on 12/14/20. Pertinent deal terms are as follows: Torchlight and Metamaterial invite all interested parties to view a webcast introduction of George Palikaras, CEO of META and an overview on META. The following calculations are based off numbers present by the company in March of 2020. Two Wall Street Legends will reveal their #1 recommendations and full "roadmap" for navigating the coming AI revolution. The process will essentially be TRCH starting all over again with the same assets, but not as a Nasdaq company anymore. META designs and manufactures advanced materials and performance functional films which are engineered at the nanoscale to control light and electromagnetic waves. Only the Nasdaq listing. Medical Applications META has a strong research base in photonics as well as wireless technologies, they are currently able to enhance the signals 200-500% on MRIs with their resonators and intensity correction algorithms. Perform your own due diligence and consult a financial professional before trading. A video interview with both CEO's and Torchlight's Chairman will be available this week and separately announced with links provided. Torchlight has engaged Roth Capital Partners as financial advisor and Stikeman Elliott LLP and K&L Gates LLP as legal advisors, and Metamaterial has engaged Hamilton Clark and Cormark Securities as financial advisors and Fasken Martineau DuMoulin LLP andWilson Sonsini Goodrich& Rosati P.C. The reason why investing in short squeezes is a bad idea is because they dont last long. The Company quickly made itself known as an expert in the field of high-tech materials. Oil averaged $40.75 that month. If the exchange rate is 1 Metamaterial share for 3.6 Torchlight shares (as mentioned in the proxy filing), that would imply that each Torchlight share would get around $1.60 in value from the . Housing Market Crash Alert: Mark Your Calendars for Feb. 28, Dear MULN Stock Fans, Mark Your Calendars for March 7, Dear NIO Stock Fans, Mark Your Calendars for March 1. Metamaterials Technologies, known as META ( MMATF :US MMAT :CAN) is currently trading at $2.66 as of 02.27.2021. (Source: Interactive Brokers, using a paper trading account). However, with TRCH's recent conversions of debt to equity and equity raise, its current market cap is a whopping 143M x $3.90 = $558M. Brooklyn ImmunoTherapeutics made a similar move. I have no preference for sectors or countries - I'm as comfortable owning a part of a cement miner in Peru as holding shares in a wheat farming firm in Bulgaria. Housing Market Crash Alert: Mark Your Calendars for Feb. 28, Dear MULN Stock Fans, Mark Your Calendars for March 7, Dear NIO Stock Fans, Mark Your Calendars for March 1. Biosensors - they are in the development process of a non-puncture blood glucose monitoring system. Ahead of the merger, Torchlight paid the special Series A Preferred Stock dividend on a 1-for-1 basis to its stockholders of record on June 24. We don't think the spinoff will end up being worth much more than what TRCH shares were worth in November, which was about $0.25-$0.40 per share. Metamaterials are a subset of functional materials, according to the company. TRCH has risen as much as 400% since the beginning of the year, and has doubled over the last week. They can provide a heads-up display across the windshield with almost immediate defogging and de-icing. And that's AFTER the merger definite agreement was announced. Not only will their loyalty be rewarded with ownership in Metamaterials, they will also retain full value in our oil and gas assets through the Special Dividend.". This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the "safe harbor" created by those sections. Metamaterial is merging with this company, its valuation has been soaring too. While management has based any forward-looking statements included in this release on its current expectations, the information on which such expectations were based may change. If it's a value stock - great. It appears to only want the Nasdaq listing. A short is more appealing when there's a clear endgame in sight. Our Standards: The Thomson Reuters Trust Principles. The story is narrative-driven and its not prudent to use traditional metrics such as P/S, P/E, or EV/EBITDA. Torchlights management will remain, in an advisory role focused on winding down Torchlights legacy business and maximizing the value obtained from the divestiture of Torchlights oil and gas assets. I think that Metamaterial is an exciting startup, but the end of the short squeeze is likely to push down its shares back to around $3 per share. , this is what I like to see in a startup a rapidly growing market and great products and partnerships. It will likely be spun off onto the OTC exchange. Just look at the share price and volume for Torchlight. Torchlight has assets focused in West and Central Texas where their targets are established plays such as the Permian Basin. Copyright That would bring a per share value to TRCH of $12.12M/143M = ~$0.08. META is changing the way we use, interact with, and benefit from light and other forms of energy. I wrote this article myself, and it expresses my own opinions. Colleran, who has previously served as CEO at ventures including Impinj and AnswerDash, said Lumotive is pursuing a step-by-step plan to catch the rising tide. June 28 (Reuters) - Shares of Meta Material Inc (MMAT.O) gave up premarket gains to fall 20% on Monday, the first day of trading after a merger that saw the niche hi-tech materials maker swallow Torchlight Energy Resources, which was at the center of huge speculative bets by small individual traders. Torchlight Energy (TRCH) -5% post-market after announcing a one-for-two reverse stock split and confirming that its merger with Metamaterial will take effect on June 28. Reuters provides business, financial, national and international news to professionals via desktop terminals, the world's media organizations, industry events and directly to consumers. which is measured in Tesla (T). - Disclosure: I am not a financial adviser. Therefore, they will be spun-off into another company. Ahead of the merger, Torchlight paid the special Series A Preferred Stock dividend on a 1-for-1 basis to its stockholders of record on June 24. Before GameStop, the most famous case was in 2008 when German auto giant Volkswagen (. Torchlight to acquire META through the issuance of common stock, such that at closing, the former equity holders of Torchlight would own 25% of the combined company (the "Combined Company") with the former equity holders of META owning the remaining 75% and META becoming a wholly-owned subsidiary of Torchlight. This confirms to us that our analysis on TRCH is correct. META partnered with Airbus to develop and commercialize this technology. Winkler Project 1,080 gross acres, 12.5% WI (non-operated) under contract for $450k (350k to Torchlight). In November 2010, Pole Perfect bought Torchlight Energy and abandoned all of its previous business plans within the health and fitness industries before formally changing its name to Torchlight in 2011. read more. Like the other metamaterials . META has a growing patent portfolio and is currently developing new materials with diverse applications in concert with companies in the automotive, aerospace, energy, consumer electronics and. Perform your own due diligence and consult a financial professional before trading. As a result,. How can investors take part in this move? The same is happening at the moment with Torchlight. The original planned business combination PR, on 9/21/20, states: The Combined Company shall use its commercially reasonable efforts to cause the Torchlight oil and gas assets to be sold by June 30th, 2021. that it inked an agreement with a fund named Lincoln Park Capital to sell shares for up to $20.8 million. Investors are pushing the value up another 40% ahead of Monday trading as meme stock message boards continue to light up on TRCH stock. You see, Metamaterial wants to list on a large US stock exchange, and to do this, its carrying out a reverse takeover with a small NASDAQ-listed US energy company named, Torchlight. CEO and Founder -George Palikaras Ph.D. GameStops January short squeeze lasted just around two weeks and ended just as mainstream media picked up the story. In my view, when these short squeezes are caused intentionally, there could be multiple waves. Torchlight also announced that it implemented a 1-for-2 reverse split of TRCH stock. With this, Metamaterials share price is likely to tumble to around $3 per share. This will allow them to apply their embedded metamaterial and functional film elements with precision cast corrective lenses. META is headquartered inHalifax, Nova Scotiaand has R&D and Sales offices inLondon, UKand Silicon Valley. The company isnt popular on WallStreetBets, but you can find viral posts on the RobinHoodPennyStocks, pennystocks, and smallstreetbets subreddits touting it as a potential short squeeze. While they do have revenue and have partnered with major companies (Samsung, Boeing, Airbus), I am thinking of them more in terms of a pre-revenue IPO. It did sell its interest in its Winkler Project in November for $450K, but that's not a significant sum. The recent loan from Torchlight does not figure into the numbers below. It would probably fall on this news, as it has also appreciated significantly over the last few months likely due to the anticipated merger. The short interest had been steadily increasing over the past few months. 2023 InvestorPlace Media, LLC. Often but not always, forward-looking information can be identified by the use of words such as "expect", "intends", "anticipated", "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would" or "will" be taken, occur or be achieved. The META Note is for a 24-month term and bears interest at 8%, with principal and interest due in a lump sum at maturity. I wrote this article myself, and it expresses my own opinions. Drilling rights in the Permian Basin of West Texas and New Mexico averaged about $24,000 an acre in recent deals, down 67% from 2018, according to Rystad Energy, an Oslo-based research firm. ), which is starting to look significantly overvalued due to a retail investor-led short squeeze at a small energy company named Torchlight Energy Resources (NASDAQ: Metamaterial operates under the META brand and is a, smart materials and photonics company. Upon completion of the Transaction, shareholders of Metamaterial are expected to hold an approximate 75% equity interest in the combined company while Torchlight shareholders will retain an approximate 25% equity interest in the combined company, subject to the pre-closing financing described below. I think the short squeeze is likely to end soon thanks. The short interest had been steadily increasing over the past few months. Since 2011, approximately CAD $60MM has been invested in META, yielding a sizable IP portfolio. Readers are cautioned to not place undue reliance upon any such forward-looking statements, which speak only as of the date made. I am long in TRCH at 36K shares and long in MMATF at 60K shares. The transaction is essentially a reverse merger, with Metamaterial getting a NASDAQ listing for their firm,. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Metamaterial does not undertake any obligation to publicly update or revise any forward looking statement, whether as a result of new information, future events, or otherwise. The industry leader for online information for tax, accounting and finance professionals. The webcast link will be made available and announced shortly. As well as the conversion of the company's debt to equity. The Proposed Transaction represents a strategic shift for Torchlight. "During the past six months the oil and gas market has softened due to the economic slowdown resulting from the pandemic," stated John Brda, Torchlight's CEO. Torchlight also said on Friday it paid a special dividend to its stockholders of record on June 24 and that it implemented a previously approved 1 for 2 reverse stock split. All articles are my opinion - they are not suggestions to buy or sell any securities. His Substack newsletter,TLV Strategist, covers the Israel business scene. Prior to closing, Torchlight must raise gross proceeds of at least$10 millionthrough the issuance of common stock or securities convertible into or exercisable for common stock, less the value of loans Torchlight has made to Metamaterial. The dividend will be one preferred share on a pro rata basis of the holding company holding the net proceeds (or assets if they have not yet sold). Shareholders have approved the deal, whose terms stipulate that Metamaterial shareholders will own 75% of the combined company, while Torchlight shareholders get 25%. Liquidity is low on the OTC market and there is no data on the availability of Metamaterial for sale. GameStops January short squeeze lasted just around two weeks and ended just as mainstream media picked up the story. META's portfolio comprises 28 patent families, 19 of which are granted. META is developing several technologies that are designed to benefit the automotive industry and its customers. Torchlight Energy Resources announced on June 25 that it completed the necessary steps to make its merger with Meta Materials, Inc. official. Such statements are based on the current expectations and views of future events of the management of Metamaterial and are based on assumptions and subject to risks and uncertainties. They have three major oil and gas assets. How can investors take part in this move? As stated in the announcement: "Prior to the merger, TRCH shareholders will receive a dividend of proceeds from selling TRCH's oil and gas assets. A place to find gems and meet new friends. I have no business relationship with any company whose stock is mentioned in this article. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the companies, including risks regarding the ability of the parties to reach agreement on definitive agreements, the ability of the parties to raise necessary equity capital, approval of the transaction and continued listing by the NASDAQ, approval of the Canadian Securities Exchange, receipt of shareholder approval and required third party and regulatory consents, the risk that Torchlight may not be able to dispose of its oil and gas assets on favorable terms or at all, risks related to the technology industry, market strategic and operational activities, and management's ability to manage and to operate the business. I am not receiving compensation for it (other than from Seeking Alpha). In March of 2020, Torchlight decided to pivot their entire operation and and to divest all of oil and gas assets and to embark on a reverse merger with a future focused company. For additional information on Torchlight, please visit www.torchlightenergy.com. They are composite structures, consisting of conventional materials such as metals and plastics, that are engineered by scientists to exhibit new or enhanced properties. META has a growing patent portfolio and is currently developing new materials with diverse applications in concert with companies in the automotive, aerospace, energy, consumer electronics and. Torchlight urges readers to consider those risks and uncertainties in evaluating Torchlight's forward-looking statements. For further information: Investor Relations and Media Contacts: Graham Farrell, Harbor Access LLC (416) 842 9003[emailprotected], Mark Komonoski, Director Capital Markets and IRMetamaterial Inc. 877-255-8483[emailprotected], Torchlight Derek Gradwell Integrous Communications 512-270-6990[emailprotected],[emailprotected], Meta Materials Inc. The reason why investing in short squeezes is a bad idea is because they dont last long. Although the management of Metamaterial believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. META is currently developing new materials with diverse applications in the automotive, aerospace, consumer electronics and medical industries. InvestorPlace contributor Robert Lakin is a veteran financial writer and editor, including previous stints with Bloomberg News and as a buyside equity research editor. All rights reserved. Post from CEO of Metamaterial saying first step of merger is complete. If it's a value stock - great. On 4/29/19, we published a report that stated we believe that Torchlight Energy (TRCH) assets are worthless and that "we do not believe Torchlight will be able to successfully complete the sale of the company or its asset(s).". CTO and Chairman Dr. Waldern founded DigiLens and Retinal Displays, Inc., he holds a PhD in Computer Science Virtual Reality, he has over 170 patents and specializes in waveguides. It all happens at the free AI Super Summit. Automotive Applications These applications are the root of current Tesla rumors, but these technologies can and will be applied across the next generation of cars. Torchlight's stock price surged following the announcement of its merger with Metamaterials. Nasdaq Pursuant to the LOI, both Torchlight and META are prohibited from directly or indirectly soliciting or participating in any discussions regarding a sale of their business until November 2, 2020, unless extended in writing by both parties. Meta Materials' (META) stock faced a lot of praise and headwinds in 2021. TRCH shareholders will receive a 25% equity interest in the combined company, while MMAT shareholders will receive a 75% interest. This is an arranged marriage of sorts, it is the catalyst that will allow META to bring their disruptive technology to the forefront of several growing sectors, each at or near their inflection point. Copyright 2023 InvestorPlace Media, LLC. 2023 Meta Materials Inc. All rights reserved. Google finance notes a 21.48% year over year revenue increase and META claims a $121m a year revenue potential over the next 18 months. On YouTube, the company is being covered and promoted by several channels including Moon Market, Alpha Status Stocks, DarrenJacksonTV, Trading With CJ, and Voorhees Trading. To use traditional metrics such as P/S, P/E, or EV/EBITDA i like to see in startup... 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