I don't understand the philosophy of buying a shell in an effort to go public.. They buy the shell with 30 or 40 million outstanding for next to nothing, fine. Why? If the company had no value before they aquired the shell, they have no value after.
When a company goes public, they do it because the desire to get financing. Not to many companies going public at a 1/16 with any number of shares.
it's getting late over here and I am not at home typing this so I'm going to do a little 'seat of the pants' explaining. I trust some kind soul(s) will correct my mistakes.
Let's go back to the time when NETZ was just a twinkle in a few guys eyes. One of those guys was Tom Burgess and another was a British guy with deep pockets. [I never saw this disproved, interested in the scoop on this. Not that important to my story anyway.]
These guys decide for some reason that web ads is a cool way to go and decides to go for it... As it happens Tom is a guy that starts up new companies and then moves on when the company is up and running. Fortunately he has a dormant shell from a prior project that can be used. Said and done, Tom 'turns on the juice and cuts the d*mn thing loose', bringing Star Medical back to life. In the process the share structure needs some changes so among other things a reverse is made. This is the 500 to 1 folks! The resulting boiler plate shell has something in the neighborhood of 1 to 5 mil shares and is ready to be used. Name change to Netmaster, ticker change to NETZ, filed.
Ready to rock, Netmaster starts aquiring companies, DoubleClick goes for the IPO, OtherChap falls out of a worm hole and the world gets hit over the head with the prospective excellence of web advertizing. The rest is history.
Don't look now, but www.netmaster.com is updated with the real deal! Everything works for me at least! From the opening 'TV-quality' showcase to the registration form!
NETZ is still a partial unknown but, you got to admit, them fixing up their website goes a long way. Bolt you chairs to the floor because we're goin' ballistic (hopefully not only in my dreams) :)
Tired but releived! |
