There was a post on another board stating that the projected stock price of New Wave would be $2.00 per share.
I don't understand this, but I'm willing to be enlightened. As I read things, USRF has about 7.7 million shares trading @90 cents each. This values the whole company at $7.0 million. New Wave is being capitalized with USRF assets, and nothing else I can see. New Wave is expected to have 10 million shares outstanding (the press release says that the 1.5 million shares of USRF it will receive will constitute 15% of the company). The 1 for 5 distribution seems to indicate that New Wave has been given 20% of USRF's assets. Thus, New Wave should have a value of about $1.4 million, or 20% as big as USRF. That translates to 14-18 cents a share.
Also, USRF's last 10-Q lists the company's assets as $270,000, and its liabilities as $300,000. I guess since then they raised $340,000, but could not raise the full $600,000 they sought. So, perhaps, the assets now total near $600,000. This is, to say the least, not much.
What am I missing???? |
