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Old 11-07-2007, 11:17 AM
DesertCat DesertCat is offline
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Join Date: Aug 2004
Location: Pwned by A-Rod
Posts: 4,236
Default Re: Pinksheets and Reverse Mergers

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Wow, that's a hostile response.

My question is really why they have a public company if the stock price is worthless and they don't need to be public to make films. They are clearly making money and lots of films and it has nothing to do with Entourage.

Maybe you missed the part that my friend wants to take a company public with a producer I introduced him to and $25M he already has. I just met this guy recently so I was looking up information since I've always had a negative stigma towards OTCBB and Pinksheet stocks.

Like what is the benefit to going public if he doesn't need to (to raise more money?).

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To monetize ownership in a company you already have. Assume you have a company worth $25M, but it would be hard to sell minority stakes (finding/selling to investors). If it's public you can sell shares in a legal, codified way to a large supply of willing buyers. And assuming you do it right, you'll be able to control the company with little say by the minority shareholders.

Another answer is to swindle or defraud people. You issues lots of worthless stock and pump it with press releases telling the world how great the company is or will be. You then sell some of your shares to the suckers, and have the company issue you more as compensation.

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I can read financial statements. You must have a really [censored] life to lash out at people like an insane person. Thanks for being an [censored].

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I am having a great life, but a pretty crappy week. So I apologize for being so sarcastic. But at least you did read their financials, which is good. Always read the financial reports, usually it's pretty easy to determine if a company is a scam or not. I haven't and won't read that companies reports, but from everything you wrote it seems like a total scam.
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