Boy, no interest in a company brought out of bankruptcy with only 3.7 million shares and a 600K float?
$37,800 at .063 and technically, someone would own the float. Now with someone surely short this company, when they merge, it has to produce fireworks, right? If the float is 600,000 shares, and I can count a MINIMUM of 1.1 million (and surely there are a few smaller shareholders out there), something will have to give.
I suspect, however, that if someone wanted to bring in $35,000 with hopes of buying up 600,000 shares, they wouldn't eve get close, because there just are no shares -- unless an MM is willing to go WAY short to make them "available." My guess is it would go something like this:
10,000 at .063 $630
10,000 at .068 $680
10,000 at .08 $800
10,000 at .12 $1,200
20,000 at .15 $1,500
30,000 at .21 $2,100
20,000 at .30 $6,000
20,000 at .35 $7,000
MERGER
10,000 at .50 $5,000
10,000 at .75 $7,500
10,000 at .95 $9,500
Now we're past the $37,800 -- and depending on the merger, what happens next is anyone's guess. So, the float, technically, is still NOT available for trade (between me and 5 others, I know the float is gone -- I stopped at 150,000 per account to avoid being a beneficial owner), so if the merger is good to great, someone better just take their losses and settle up as the share price passes $3.00
What I'd like to see happen then is a forward split of about 3 to 1 to increase liquidity. 1.8 million in the float and a share price of about $1.00
With about 11 million shares TOTAL now, this values the company at $11 million. Let's PRETEND the merger is just good (not great), and we have a company making $5 million with a projected $10 million the next year (please stop laughing at my guesses --- I love to speculate). Let's pretend it's in an industry where a decent PE is given -- say 20-30. IN the late 1990's -- and even some today -- companies are granted "pro-forma" acceptance on their numbers and corresponding PE's. So, PE of 10 for next year is roughly a share price of $10 -- PE of 20 is $20 and so on and so on.
Anyway, this is my hope, and someone who knows a lot more than I do about GWOW and reverse mergers in general.
Probably just fantasy, but it is fun, isn't it?
PS If I botched this completely, forgive. I'm medicated pretty heavily today.
Ooops! Almost forgot my new sign off -- Merry, Merry Christmas! |
