July 9, 2020 -- InvestorsHub NewsWire -- via Seeking Alpha 

Jul. 8, 2020 6:19 PM ET|About: Alternet Systems, Inc. (ALYI), Includes: LYFTNKLATSLAUBERWKHS

  • Goldman Picks ALYI for Best Low Priced Stock In Explosive Growth Electric Vehicle Market
  • EV (Electric Vehicle) Market is Exploding With TSLA, NKLA and WKHS Soaring To All Time Record Highs
  • ALYI Is Only One Cent and Recently Announced $25 Million Investment Based On $50 Million Valuation
  • ALYI Plans $300 Million ICO Strategy Bolstered By Strength of BitCoin Market
  • ALYI Targeting Africa As Fastest Growing Market For Their Low Cost Rideshare ReVolt Motorcycle Sidecar Serving Giant Markets

Well known Goldman Small Cap Research recently coveredAlternet Systems Inc. (OTC – ALYI) and said it is one of the more intriguing companies in the explosive Electric Vehicle space and certainly is positioned as the low-cost alternative to the $1400/share TSLA for investors seeking a high reward, albeit greater risk opportunity. The Company is focused on electric transportation solutions for the shared-ride market, namely its $300 million electric mobility initiative in Africa.

Alternet’s CEO, Dr. Randell Torno, has stated publicly that he believes the immediate opportunity for electric powered transportation growth in Africa by far exceeds the electric powered transportation opportunity anywhere else in the world and that the electric mobility technology innovations that will be developed for Africa will ultimately form the foundation of commercial electric powered transportation everywhere.

The Company’s first project is to produce the ReVolt Electric Motorcycle for the shared-ride market in Africa, along with the organization and promotion of the first African electric mobility technology conference and symposium targeted for the first quarter of 2021. Alternet emphasizes that the subject of electric transportation is far greater than the mere replacement of fossil fueled cars with electric powered cars. For instance, Volvo, Hyundai, Aston Martin, and Porsche, have electric powered vertical take-off and landing (VTOL) initiatives in the works.

In addition to product sales, ALYI intends to generate additional annual revenue via this annual electric mobility conference and symposium that includes a major brand name anchor event. The developing ALYI annual African electric mobility technology conference and symposium in Nairobi, Kenya is designed to advance the deployment of electric powered transportation solutions specific to Africa. The focus includes environmental sustainability and overall transportation efficiency applicable to the African transportation infrastructure, economy, and consumers.

Innovative Funding, Increased Valuation

Earlier this week, Alternet announced that it will receive up to $2.5 million in advance of a $25 million first tranche investment agreement currently committed under a letter of intent (LOI). This letter of intent (LOI) for a $25 million first tranche investment is itself in advance of a planned initial coin offering (ICO) to fund the aforementioned $300 million initiative. The pre-funding is intended to support the initiation of immediate efforts necessary to prepare for the inaugural electric mobility event next year. The funds will be provided as a loan convertible into the $25 million first tranche investment. The total first tranche investment agreement is anticipated to be completed within the next 90 days and is structured at a $50 million pre-money valuation of ALYI in consideration of the company’s $300 million electric mobility initiative. The $25 million first tranche investment represents a valuation of ALYI common stock at approximately $0.05 per share, a roughly 5x increase from current prices. Clearly, with the ability to raise substantial, alternative, non-dilutive financing to proceed with an enviable EV shared ride initiative, upside in the Company’s overall valuation dwarfs the other companies mentioned in this snapshot.

ALYI's funding partner for the African electric mobility project has already been partitioned on the Ethereum Blockchain. A pre-ICO funding round is underway and ICO details are being finalized.

By the end of June, ALYI and its funding partner expect to finalize an LOI for a first tranche $25 million investment in ALYI. The working terms include an approximate $50 million pre-money valuation of ALYI in consideration of the company's $300 million electric mobility initiative. The first $25 million tranche is intended to result in a change of control with the investor becoming the controlling shareholder. A management change is not part of the planned investment. A second tranche at valuation calculated after the first $25 million investment is planned before the end of the year.

Electric Vehicle stocks, TSLA, NKLA and WKHS have been soaring in anticipation of remarkable demand and future growth of electric vehicles. Africa is one of the largest underserved markets with exceptionally large demand for ride share since the general population cannot afford to buy a vehicle for self-ownership, but can certainly afford to spend small amounts for rideshare on efficient low-cost transportation vehicles where cost is very low.

Almost all ride share such as UBER and LYFT experience most rides as single passenger use meaning that vehicles that are larger than needed because too many unsold seats run empty resulting in high costs to haul them.

Alternet’s Electric ReVolt Motorcycle is designed to provide a single seat sidecar with baggage capability for single passengers at prices that are far more affordable than the competing multi-seat autos used by almost all ride share companies.

Goldman Small Cap Research concludes that ALYI is one of the more intriguing companies in the space and certainly is positioned as the low-cost alternative to the $1,400/share TSLA for investors seeking a high reward, albeit greater risk opportunity.

For more information and to stay up to date on the latest developments , please visit: http://www.alternetsystemsinc.com

The information used and statements of fact made have been obtained from sources considered reliable but we neither guarantee nor represent the completeness or accuracy. Goldman Small Cap Research and BioResearchAlert did not make an independent investigation or inquiry as to the accuracy of any information provided by the Company, or other firms. Goldman Small Cap Research and BioResearchAlert relied solely upon information provided by the Company through its filings, press releases, presentations, and through its own internal due diligence for accuracy and completeness. Such information and the opinions expressed are subject to change without notice. A Goldman Small Cap Research report or note is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed. This report does not take into account the investment objectives, financial situation, or particular needs of any particular person. This report does not provide all information material to an investor’s decision about whether or not to make any investment. Any discussion of risks in this presentation is not a disclosure of all risks or a complete discussion of the risks mentioned.

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Original Publication: https://seekingalpha.com/instablog/21922151-bioresearch-alert/5470157-goldman-picks-alyi-for-best-low-priced-stock-in-explosive-growth-electric-vehicle-market-led

 

SOURCE: Seeking Alpha 

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