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Microcap & Penny Stocks : OTC Shell Search and DD... -- Ignore unavailable to you. Want to Upgrade?

To: Ga Bard who wrote (234)	5/17/1998 1:06:00 AM
From: Boob	Read Replies (3) \| Respond to of 858

Just ran across this thread and it's right up my alley so figured I'd stop in. My belief is: -Shell investing is probably the riskiest type of investment out there but they also carry the greatest profit potential imo...if no other company comes into the shell via merger, reverse merger, acquisition, etc. then the shareholder is left holding nothing and the investment can be deemed worthless. However, in the case that a solid, already established company merges into the shell as an easy method of becoming public, the shareholder suddenly finds his/her investment to be worth many times what it once was. I'd estimate that only 1 in 50 shells actually have the latter event happen to them. The process of finding a company to merge into the shell takes a lot of time and money from the owners and in many cases, the owners just say forget about it and walk away from the shell. However, with enough persistence and perserverence, the owners can find their shell a suitable merger candidate. That is why I believe it is more important to invest in a shell based on who is running the company rather than just the shell itself. The owners must be determined to find a suitable candidate because the company's won't come to them, they will have to go out and find the companies. Just my experience on shell investing. I have recently come across a relatively new shell with the most fantastic share structure I've ever seen, making them a prime target for a merger. Plus the management are determined to find another company to either be acquired or to merge into their shell. After selling the company's business a few months back, this shell is sitting with approx. $1.5 million in cash from selling the company which leaves them in good financial position to carryout the merger process. Now I have just started to research this one but the timelines for this to be completed imo is roughly 2 months. There are just under 5 million shares outstanding and less than 500k in the float and the company is fully reporting with the SEC. This shell is going to be my main objective over the next couple of weeks to dig up all the information I can and get everything in writing. I do not want to say anything else at this point for I have merely just started researching but will let y'all know as the details come to me. This would not be a momentum play if it came to fruition and with the small float and cheap price of the stock it will only take a few long and strong investors to buy up the float and then it's game over when the merger comes out (if merger comes out). If interested, I'll keep you posted, Boob