Sahm Adrang Issues a Negative Report on Eastman Kodak Company (NYSE: KODK)
– Kerrisdale and Chief Investor Officer Sahm Adrangi believe that KODAKOne and KODAKCoin are critically flawed and will never provide material benefit for Kodak shareholders. Shares have risen on unjustified hype.
On January 8, 2018, exactly one day before Kodak announced its “Major Blockchain Initiative and Cryptocurrency,” five board members awarded themselves 370,974 restricted stock units.3
– WENN Digital Inc., lead developer of KODAKOne, and its strategic advisor on the KODAKCoin ICO, AppCoin Innovations Inc., are companies with highly dubious backgrounds.
– Members of Kodak’s board of directors granted themselves restricted stock the day before announcing the launch of KODAKOne, a suspicious act that bears material risk of drawing an SEC investigation.
The full report can be found here Report
Our good friend is at it again with Kodak being his newest target. I’ve actually been following Kodak since the announcement of their new coin then most recently the announcement of their mining program. I feel he may made a good call on this one since there are so many red flags. The stock was trading in the $3 range then after the announcement saw a high of around $11.
Many commentators are already calling the Kodak KashMiner a “scam.”
How does it work?: to join the program you’ll need to pay $3,400 upfront for the 2-year rental contract.
Over the following two years, 50% of everything mined with the machine goes to a company called Spotlite Energy Systems of California, which is licensing the Kodak brand name through the “Kodak Blockchain Project.”
Here’s the problem: The program estimates that it’ll generate $9,125 a year from its mining if Bitcoin stays at a price of $14,000.
I have no position in KODK