AODRS - Investments platform for Life and Business
6 янв. 2023 г.5 мин.
The commander's decision to crush the enemy must be firm and carried through to the end without hesitation. Inaction, failure to use all forces, means and opportunities to achieve success, indecision and passivity lead to defeat - the charter of the Armed Forces
This article is intended for my colleagues from other countries. Despite the fact that the article provides experience specifically for the Russian market, this theory works and is absolutely true for all other emerging or developed markets. I can guess about the features of other markets and I agree that each case will have its own details. But in general, I think that the theory will work for other markets as well. Therefore, the article will be useful to all, without exception, other investment companies and companies seeking to find investments.
Introduction.
This work was the result of reflections and assessments of the current development of capital markets from 1996 to 2023 at the current stage in Russia. Perhaps in the future the markets will change and this technology will not work or will be limited for political or economic reasons. But now I consider it the most significant and breakthrough structural product in the world to create capital for existing companies in a very short time and the ability to modify it into other digital products.
Theoretical basis
The foundations of this work lie in the model of the "Great Company" plan, built by me in 15, which, unfortunately, was not carried out by a group of entrepreneurs due to a lack of understanding of the technology of the structural product and its implementation. Now, over time, I see that this model is still possible to implement and can be significantly improved. For Russian entrepreneurs, there are problems in some countries in which we could previously do a double listing on the stock exchange, but these points are taken into account by me in a new model based on Asian markets or new markets that are emerging in Russia. Now, due to politics, for example, dual listing on the German (or any other European) exchange is not possible, it is not possible, the replacement lies in the creation of a digital exchange in Russia or a platform similar to that created by AODRS Investments.
I want to say that in the built model, there is nothing new, so I think. I simply systematized the existing practice of placing shares and bonds of many companies and summarized the experience of current placements on the stock exchange in other countries: Germany, Great Britain, Russia, USA.
Theory of "Double change of capital"
A structured product is based on the use of equity capital and a large number of shares at registration (more than 100 million shares), a fast growing market or a market with low margins, but stable cash flow over the life of the business and the ability to maintain it. A certain company is taken and on the basis of this company a structural product is built with the possibility of changing and replacing capital from debt to equity and vice versa. But the main option for increasing the company's value is a system of constant acquisitions of existing companies and the integration of these companies into the current business.
This model has a number of limitations that are not taken into account, but I will now reveal them. At the heart of these innovations, there should be a number of critical points for the digitalization of future assets. So far, what we see is a restriction on the widespread use of digital currencies and the laws that regulate them. But it seems to me that the system will change soon and, for example, Russian companies will be able to exchange (for now only exchange) shares for digital currency, and in the future, a situation is possible when all shares will also be turned into a digital form, which will allow them to sell (exchange) for capital from any country. Now you see the difficulty of moving capital from country to country. These difficulties will be eliminated over time. Now there is resistance at the level of governments and central banks, and this is understandable. Because in this case, almost instantly multiplies by zero, these institutions. But such a time will come and it will be very difficult to bring back, relatively speaking, it will be very difficult to seat entrepreneurs on typewriters. In Russia, due to sanctions, it will soon be allowed to make payments for goods and shares with digital assets, and a digital exchange may appear, and this will qualitatively change the approach to capital markets. This change will completely remove institutions such as large investment banks, leaving only investment bankers. This is the 5th wave that has been going on in the investment business since its foundation in 1996. I wrote about this in my work on the platform website. This will be due to the cheapness of raising capital and the opportunities provided by digital platforms and investors from all over the world to invest in the capital of companies. I think these changes will be in 2023.
Explanations to the theory of the "Double change of capital" model
This model is based on an almost continuous work on changing and turning capital from debt to equity and an almost continuous process of working with digital investors. Of course, the very high-quality work of the capital and business management team is also the basis of the business. But I deliberately omitted the issues of management and business development, since the purpose of the article is the structural product itself. Below is a calculation of the effect of the introduction of this capital structure.
This theory was recently presented in a different form in a truncated form on the shares of Positive Technology, ticker POSI on MOEX, proving its full validity and proving my theory. Let's look at the company's shares and evaluate the trends. This company did exactly what was published by me in open sources.
*The company was listed on the stock exchange
*Posted a small exchange loan
*Transferred shares from JSC to PJSC and passed 1 listing on MOEX
*Issued additional shares in the form of an SPO and divested itself of preferred shares, turning them into ordinary shares.
*Placed a large exchange-traded bonded loan on the stock exchange.
A number of the mistakes they made is that they don't have a lot of treasury shares, they will need them for takeovers and secondly, their bonds that they placed are not convertible. These are significant omissions of their consultants, although they may be partially implemented. Also, they do not use a system of acquisitions and do not use debt conversion operations to get rid of it, which is the main thing in my theory. The next step is to turn some of the shares into digital shares on a digital platform to raise capital and place them among private investors around the world.
By the way, we will soon be able to offer such a service to many Russian and foreign companies.
Thus, the theory of "double change of capital" is a perfectly working theory with a constant added weight of shares.
I will also touch upon the issue of dividends. Dividends should also be used for the benefit of transactions, but at the same time this cannot be converted into an ever-increasing amount.
If there are companies that are ready to use all the features of this structured product, write to us.
Slav Luginin
Telegram channel: https://t.me/SlavLuginin