TPGY Stock: The Best Way To Test Your Patience Level - YouTube

Do you know that feeling when you're watching  a very boring movie for like two hours and  

you finally think it's going to end soon and  then you check the time and you realize you're  

only halfway through the entire freaking movie?  Welcome to the story of TPGY merging with evbox.  

Today we're going to talk about the new sec  filing, we're going to talk about the reasons for  

the delay and then i'm going to give you my  opinion about the future of the stock price  

so let's go. Because your patience has been tested  so much and will continue to be tested for a few  

months probably i'm going to add some pictures  of cute kittens every now and then this is the  

first one of a kitten that just read through  the new SEC filing and discovered the deadline  

has been extended again because yes the outside  day the deadline for this merger between TPGY  

and EVbox has been extended from august 6 until  december 31st of 2021. This is way more than i  

anticipated. I thought this might take a few weeks  more or potentially one month more but definitely  

not like four months more and in the sec filing we  notice that it might take even a little bit longer  

because here we can read that TPGY and Engie  seller which is the parent company of evbox expect  

to work toward completing the business combination  in late 2021 or during the first half of 2022. So  

why do we need this extension? Well we are seeing  a continued delay in the delivery of the audited  

financial statements for evbox group and with  regards to those financial statements we're not  

just talking any more about only the year 2020  but right now we apparently also need the interim  

unaudited financial statements for the first half  of this year 2021 so the six months ended june  

30th of 2021 and to top it off we might also need  to restate the financial statements for EVbox for  

the year 2019 because right here it says that the  existing audited financial statements of evbox for  

the year ended december 31st of 2019 might require  restatement before they can actually complete the  

audited financial statements for the year 2020.  So it's quite insane the things we need. We need  

maybe a restatement of 2019 we need the full  year of 2020 and we need the first half of 2021  

and because of this entire horror show what we are  seeing right now is that TPGY does not consider  

the previously released financial and operating  guidance for EVbox group for future periods to  

be reliable indicators of evbox groups expected  future financial performance so basically that  

means that because of all those restatements and  maybe all of those audits need to be restated.  

We don't really know if the guidance that we  received in investor presentations for example  

is actually correct or not. It could be entirely  different and we might even be looking at a  

revised business plan and a revised financial  forecast for ev box group so what are some of  

the potential reasons for this delay? Well first  of all according to Vihar which had a pretty solid  

comment one day ago Engie has a new ceo since  the beginning of this year. Engie is the parent  

company of evbox so Engie is going to sell evbox  to TPGY hopefully at some point in the future  

if we still are alive and yeah that could be  the case that the new ceo of Engie wants a  

better deal for selling ev box. It could  also be the case that well the French  

government has a stake in Engie and there  might be some regulation issues over here  

and of course keep in mind that Engie is a  european company, TPGY is an american company.  

American companies need to comply with certain  regulations for example GAAP accounting principles  

and Engie isn't really used to complying to these  with these GAAP accounting principles so that  

could be quite difficult for sure and of course  keep in mind again evbox is a part of Engie.  

It might be a little bit difficult to carve out  ... to carve out evbox out of Engie of course but  

yeah are these solid reasons for this taking  so so long. I'm not entirely sure about that.  

It just looks like someone is royally screwing  things up. Now hopefully i'm going to be able  

to get an interview with the ceo of evbox in a  couple of years and we can just laugh about the  

entire situation. Now what might happen if the  deal is not going to go through? Well one of  

the things that is going to happen is that evbox  or actually Engie will need to pay quite a bit  

of money 12 million euros if there is no deal for  any reason by any party so also if TPGY says we're  

not going to have this deal anymore then evbox or  actually Engie is going to have to pay 12 million  

euros. Now this could be even increased to  15 million euros so 3 million euros extra  

if the company Engie of course evbox is not going  to be able to deliver their financial statements  

before october 22nd and that combined with no  deal at the end. To soften the blow a little  

bit here's a kitten that's representing the TPGY  investors feeling a little bit stuck right now  

or at least the retail investors like you and me  because it looks like the institutional investors  

are getting the opportunity to abandon the ship  because in one of the sec filings we can also read  

that the investors in the private placements are  going to be released from their obligations. Now  

my interpretation of this is as follows that the  institutional investors or the PIPE investors  

don't really need to keep their shares in lock-up  anymore and they can sell their shares whenever  

they want. Now the question is whether they are  going to do so or not. Apart from that these  

institutional investors bought their shares for  $10 per share. Now i'm not entirely sure if they  

can now sell their shares for $11 which is more  or less the price of TPGY right now or just for  

$10. Now it's probably going to be the latter  so i think that if the PIPE investors if the  

institutional investors want to sell their shares  then they probably will have to do so for $10  

per share. Now in total we're talking about quite  a bit of money 325 million dollars actually that  

could be potentially sold by these institutional  investors by these PIPE investors so you have 100  

million from forward purchase agreements  and also 225 million from PIPE investors  

so if that happens if all of the institutions  are going to sell their shares then i believe  

TPGY can look for new institutional investors that  want to invest up to 325 million dollars in total.  

Now i believe the worst worst worst case scenario  is that everyone sells their shares so 325 million  

dollars in shares, TPGY cannot find any new  institutional investors and then they potentially  

would have 325 million dollars less in cash. Now  i'm not entirely sure what TPGY would do in that  

case. Maybe they're going to sell more shares to  retail investors like you and me but honestly i  

don't really have any idea what would happen in  such a situation. So just like many many people  

in the comment section and my email inbox actually  you might wonder okay this is all very confusing.  

What should i do right now? Am i just going  to jump ship just like this cute kitten wants  

to do and just sell my shares for a loss? Well of  course i can't decide for you. You always need to  

make your own decision based on the information  that you have but i am going to tell you what i  

am going to do. So what am i going to do exactly?  Well i kind of agree with this comment over here  

that if they were not aiming to close the deal why  would they actually postpone because rationality  

says they would have cut of a deal by now if  they didn't think it was actually feasible and  

i would want to add to that yeah why would they  extend the deadline again? Why would they invest  

more time and more money in the next couple of  months? Why would they offer new PIPE investment  

opportunities? It really looks like both parties  still really want to close the deal so that is why  

i still believe that it is more likely that we  are going to see a merger than that we are not  

going to see a merger. If i would have to put  a percentage on that i think it's about like 75  

percent likely that we will still see a merger  whether it's going to be in december or like  

the first half of 2022 and like 25% that we're  not going to see a merger. Now of course there  

is an opportunity cost right now because i could  of course sell my shares and use the money for  

something else during the next couple of months  because i think that the stock is likely going  

to stay trading because between $10 and $11 per  share for the next couple of months. It's likely  

going to take a few months before we're actually  going to get definitive news about the merger  

but personally i'm not going to do so. I'm not  going to sell my shares. I've been waiting this  

long and i'm just going to wait a few more months  but i can definitely understand if you would sell  

your shares right now and put the money somewhere  else for just a little while for a few weeks or a  

few months. It's just yeah super annoying and  they are really really testing our patience so  

that's the latest update about TPGY. Now if you  haven't watched my latest video about TPGY which  

i released last week definitely do so. It's right  over here. It contains a little bit of additional  

fundamental analysis about evbox so definitely  check it out of course and if you have already  

done so then maybe check out my mission which is  right over here and with that being said thank  

you very much for taking the time to watch this  video and i hope to see you in the next one. Bye!