SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Pastimes : Georgia Bard's Corner

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TraderGreg who wrote (953)4/30/1998 8:46:00 AM
From: Ga Bard  Read Replies (1) of 9440
 
Shells ... We yes I think what it is is the shell buys the company with all the stock in the shell. I am not sure exactly how each deal is performed because I do not think any two are the same. Then they take over control of the shell.

Sometimes it is cash, sometimes stock. smoetimes both, sometimes it is both doing both. Remember a private company has stock to. There is no specific way to do it except the cost savings of going into a shell over an IPO. Most of the time the shells have a stock structure that is quite appealling and already set up (underwritten)

Each shell and reverse merger is different and you have to read the SEC filings to find out. Pay particular attention the the articles of merger.

GB
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext