To: JIN CHUN who wrote (11759 ) 4/13/1998 8:50:00 AM From: PHarris Read Replies (1) | Respond to of 27968
I copied this article from TGSK news because of their reverse merger experience which resembles FAMH/ATXI merger. And before you attack the differences, I'll say I understand them well but wanted to share their positive results from their experience: [ Business | US Market | Industry | IPO | S&P | International | PRNews | BizWire | Finance Home ] Monday February 23, 9:07 am Eastern Time Company Press Release Message From President WACO, Texas--(BUSINESS WIRE)--Feb. 23, 1998-- Dear Shareholder: For many of you this is the first communication you have received from your company. As the President and Chief Executive Officer of Tigershark (OTC Bulletin Board: TGSK - news) I would like to take a few minutes of your time and bring you up to speed on recent developments within your company and give you a general overview of management's vision for the future. I would also like to make a pledge to keep you and all of our other shareholders informed about current developments within your company through the issuance of periodic statements such as this one. Becoming a Publicly Traded Company During the fourth quarter 1997 management made the strategic decision to ''go public'' through what is commonly referred to as a reverse-merger. A reverse-merger occurs when an inactive public company, commonly called a public shell, acquires 100% of an active private business. Once the transaction is completed the two companies become a single company that maintains the identity of the active private company while enjoying the benefits of the inactive public company. Reverse-mergers have become very popular during the past few years because they allow companies wishing to go public to avoid considerable red tape with securities regulators, plus they are very inexpensive to complete. In the case of Tigershark, management identified a public shell in August 1997. After careful consideration and planning, the two companies completed a reverse-merger transaction and commenced trading on the OTC Bulletin Board on January 9, 1998 under the ticker symbol ''TGSK''. On behalf of the Board of Directors I would like to welcome all of our new shareholders from this reverse-merger and state that I look forward to working for you to make Tigershark an even larger success than it has been in the past. Why did Tigershark go public? There are two primary reasons for management's decision to take Tigershark public: 1) maximize shareholder value and liquidity and 2) embark upon an aggressive expansion program. It is fairly common knowledge that public companies carry significantly higher valuations than similar privately held companies. Furthermore, it is management's duty to take whatever steps are necessary to maximize shareholder value thereby affording each shareholder the ability to realize the fullest potential of his or her investment. Tigershark is more able to fulfill its shareholder commitment as a publicly traded company. Secondly, public companies have a much broader spectrum of financing sources and opportunities compared to private companies. Public companies typically receive better terms from lending institutions and can take full advantage of investment bankers and other institutions to obtain often needed expansion capital. Additionally, public companies can use their stock as a tool to acquire other companies both public and private. These benefits are very important to Tigershark and make its aggressive expansion program not only a possibility but a reality. Over the coming weeks, months, and even years the benefits of being a publicly traded company will become very clear and each shareholder will be benefit substantially. Priscilla P.S. I am not invested in TGSK.