Reverse Mergers
Intro to CPC’s - Part II: Definitely Not SPACs
By David Feldman at 9 March, 2010, 7:04 am
As mentioned in the first installment of this series on CPCs, or capital pool companies, in Canada, there are some differences between these smaller shell companies that go public on the TSX Venture Exchange seeking combinations with development stage companies and SPAC’s, or special purpose acquisition companies in the US, which raise large amounts of money hoping [...]
Read More >>Intro to CPC’s - Part I: Basics
By David Feldman at 7 March, 2010, 9:17 am
We’ve all been hearing a lot about “CPCs,” emanating out of Canada. CPC stands for capital pool company. Essentially the program permits shell companies to go public through an IPO, raise money and then hope to conclude an acquisition through reverse merger. The TSX Venture Exchange established the program, which is not available in all Canadian [...]
Read More >>Reverse Merger Report Touts Form 10 Shells
By David Feldman at 21 February, 2010, 12:28 pm
In the most recent issue of the Reverse Merger Report, the growing popularity of using Form 10 shells in reverse mergers of Chinese companies was reported. In particular, notes the article, some Chinese dealmakers are finding frustration with companies merging onto the OTC Bulletin Board. They feel that WestPark Capital’s WRASP structure, in which a [...]
Read More >>Tip of the Week: How Long Does it Take? Part III
By David Feldman at 15 February, 2010, 2:58 pm
New potential clients pondering a reverse merger or self-filing always ask, understandably, how long does the process take to get my company public? How long to get trading? How long until real trading commences? I broke this down into three responses. We talked first about how long the process can take simply to be able [...]
Read More >>Tip of the Week: How Long Does it Take? Part II
By David Feldman at 11 February, 2010, 7:49 pm
New potential clients pondering a reverse merger or self-filing always ask, understandably, how long does the process take to get my company public? How long to get trading? How long until real trading commences? I broke this down into three responses. We talked first about how long the process can take simply to be able [...]
Read More >>Tip of the Week: How Long Does it Take? Part I
By David Feldman at 9 February, 2010, 7:21 am
New potential clients pondering a reverse merger or self-filing always ask, understandably, how long does the process take to get my company public? How long to get trading? How long until real trading commences? I’ve decided to break this down into three responses. Let’s talk first about how long the process can take simply to [...]
Read More >>Tip of the Week: Market Downturn? Reverse Mergers Shine
By David Feldman at 5 February, 2010, 7:14 am
In the wake of the cataclysmic 2008-2009 market meltdown, we sometimes forget the history of reverse mergers and IPO alternatives. As a correction in the current market rally appears to be hitting, some players have increasing concern about completing APOs. Of course markets heading up are better than the alternative for most investors. However, for [...]
Read More >>Shell Prices Heading North
By David Feldman at 24 January, 2010, 12:05 pm
Another sign that things are beginning to recover for the RM world - following a steady decline which started in mid-2008, shell prices seem to have turned the corner and are going up again. For much of the early 2000s, trading “legacy” shells went for between $150,000 and $250,000. As things heated up so did [...]
Read More >>2009 Starts Like a Lamb, Ends Like a (Small) Lion
By David Feldman at 20 January, 2010, 9:14 am
The Reverse Merger Report provided its annual “year in review” in its new edition on January 14. For the most part 2009 is a year most of us hope to forget. The number of reverse mergers declined about 11%, with 187 reverse mergers being completed vs. 211 transactions in 2008. Plus the total value of [...]
Read More >>Tip of the Week: Are Non-Reporting Shells Better? Sometimes…
By David Feldman at 6 January, 2010, 7:34 am
I am often asked why most players in the RM world prefer shells that are fully reporting with the SEC. They point to the fact that non-reporting shells do not have to file Schedule 14f-1 when a reverse merger change of control is contemplated, they do not have to file the “super” Form 8-K which [...]
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