Monday, January 26, 2015

The Money Continues to Roll into Blu Homes

When it comes to making a profit I really don't know anything about that side of Blu Homes' business nor should I as that is not something very many modular home companies make public.

What I do know is that they have one helluva investment generating machine. On December 24, 2014 they got $24,000,000 of investment money and now an SEC Filing has come to my attention that shows they got $35,000,000 on 12/30/14. Now the first $24,000,000 may be part of this amount but I really can't be sure.

The SEC Filing for 12/30/14 also shows that Tim Disney, whose house is the primary marketing piece, is listed on the Board of Directors and Maura McCarthy is listed a the 'promoter.' It also shows that a "Finder's Fee" in the amount of $1,000,000 was paid. Who would get that?



CLICK HERE to read the SEC Filing

3 comments:

Merle S. said...

I work for a manufactured and modular home factory and I don't think we have ever received investor money. We get it the old fashion way, through sales and profit. If all we had to do was take a few pictures of houses on the line and ask people for money, why haven't my bosses done that already.
We have been talking in the office about all the money they get for doing next to nothing and just don't understand it.
Maybe someone with more knowledge about high finance can answer it.

Anonymous said...

Following is excerpt from Wikipedia explaining Form D filing w/ SEC. Blu wants to sell stock to raise capital without registering the offering with SEC.
Mr. Disney could have invested $35 million for ownership stake.

Source: Wikipedia

Form D is an SEC filing form to be used to file a notice of an exempt offering of securities under Regulation D of the U.S. Securities and Exchange Commission. Commission rules require the notice to be filed by companies and funds that have sold securities without registration under the Securities Act of 1933 in an offering based on a claim of exemption under Rule 504, 505 or 506 of Regulation D or Section 4(6) of that statute. Commission rules further require the notice to be filed within 15 days after the first sale of securities in the offering. For this purpose, the date of first sale is the date on which the first investor is irrevocably contractually committed to invest. If the due date falls on a Saturday, Sunday or holiday, it is moved to the next business day.

Privately held companies that raise capital are required to file a Form D with the SEC to declare exempt offering of securities. Many of these filings show investments in small, growing companies through venture capital and angel investors, as well as certain pooled investment funds.

Anonymous said...

Here is some more detailed information on blu homes financing.

https://www.crunchbase.com/organization/blu-homes

It is not completely accurate because it lists employees that are no longer with the company (notably founder Dennis Michaud) and I am sure that there had to be other investors besides Mr. Disney in the Angel round.