Firstly apologies for going on about Mara Seaweed, but it is a case that has some very curious elements.
Two days ago Mara looked sure to miss their £500k target. The pitch opened 45 days ago with a startling £300k already in from one investor. This turned out to be a group of Scottish investors who had agreed to invest off the Crowdcube platform but Crowdcube had worked out that by opening with over 50% completed, this would help the pitch succeed.
In fact a mix of the Dragons Den debacle, a management in meltdown and a valuation based on a total misuse of DCF, turned the Crowd very firmly against the pitch. By the time one day was left they had only raised another £98,000 on top of the pre arranged £300k. Then out of the blue they reached £500k. Whats more they have now extended the time period for another 14 days to 'overfund'. Why?
We know that the final £100,000 was invested by a Jim Fallon, a non executive board member of Mara. Of course Mr Fallon could always change this investment amount if, say for instance, the overfunding brings in another £50k he might reduce his £100k to say £50k. He gets a week to confirm his investment once the time is finally up. I dont suppose he will but you get my drift. Mara have themselves stated that this whole process has been difficult and taken up valuable time but they have decided to ride the Crowdcube wave or 'overfund' - looks more likely to be a backwash to us.
As reported earlier, the reaction from some Crowdcube members has been very hostile to these happenings. It certainly isnt very transparent.
Anyway that is probably enough on Seaweed, until the accounts reveal what has really happened over the next few years.