These 2 comments taking from the Industrial Alliance Featured Note from last Nov.

Growth strategy:

Management estimates its addressable market at ~100m units in select Consumer, Industrial, Military and Medical opportunities and Sonomax has approached both the key OEMs and ODM suppliers to offer the brand, and the technology in return for a per unit royalty in the C$2.50- 5.00 range. This business model, if successful, could result in very high margins as revenues fall almost directly to the bottom line.

High risk/reward outlook:

While the company has massive IP in the hearing protection field, moving the stock rests on the market’s perception of Sonomax’s ability to rapidly negotiate high volume deals with key partners. If management is successful, it is not hard to envision significant stock appreciation or a possible take-out scenario.

http://dqkjwx3xr6pzf.cloudfront.net/c87577/Sonomax_Feature_Note_Industrial_Alliance.pdf

My opinion on the growth strategy. Nick said our royalty rate will be 10% of net sales, thats a lot higher than what IA has in this note! Scullcandy is the OEM we needed and Jam is gonna be a distributer. So, with the retailers wanting the product in their stores badly, I would say chances are excellent for success!

My opinion on the High risk/reward outlook; if the market is waiting for us to rapidly negotiate high volume deals , they dont have long to wait. Nick said in the AGM video that billion dollar Chinese ODM,S are calling us like they would big companies, to roll our product/s out, this is huge support. Even though the possibility of a take-out is still there, I dont beleive it will happen now because of these recent events. I hope it doesn,t ,there is too much coiled potential here that could propel this stock to great heights and I personally would take a buyout offer as an insult, unless it took into consideration forward earnings and shares in the suitor at a great premium.

IMO