Bergamo Acquisition Corp. (BGMO)

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FF720’s BiGMOney Pick Inside w/ DD

Bergamo Acquistion Corporation – BGMO.PK – “Bur-gam-o”

About Bergamo:
Bergamo is like Syndication (SYNJ) only more 1-2 years more developed. They are in the green energy sector and fashion retail/wholesale sector. We don’t care about the fashion part, just like we don’t care about SYNJ’s spinal decompression part.

What is BGMO building:
A Clean Coal Fired Energy Plant to provide more than 500MW of power to Pakistan. This plant will help meeting Pakistan’s growing energy demands and reduce blackouts.

LED Lighting Plant. I was speaking with Mr. Herzog and we were discussing the importance of LED lighting. From what I understood, is that if everyone used LED lighting rather than fluorescent or incandescent bulbs we wouldn’t have a need for clean energy or have an energy crisis.

Photovoltaic Highway Lighting. In other words solar powered lighting systems.

Time Frame:
Bergamo is currently negotiating contracts for three energy projects for the Pakistan government. From Tuesday July 14th until July 22nd/24th the CEO Hillard Herzog will be in Pakistan meeting with the Minister and other important leaders. At this time they plan to finalize the deal. From there, Hillard will fly to Hong Kong to deliver the contracts. He may spend up to another week in Hong Kong completing the loan, but the financing is already on deposit at Citibank. Once the loan is signed funds will be released almost simultaneously.
This deal has been in the works for over one year. There is certainly a chance that this investment could flop. Here are the two main things that could go wrong:

1. BGMO and Pakistan Government need to renegotiate the contracts, which would take more time. My understanding is the meetings are more about the minor details than the acceptance of the plan.

2. Financer refuses to loan the money. The money is already on deposit at Citibank, but I suppose the lender could go back on their formal memorandum. This is less likely to occur than number one.

The company does plan to Press Release while Hillard Herzog is in Pakistan to keep investors informed. They plan to PR if they reach milestones like the completion of contracts, signing the loan documents and the release of funds.

Share Structure:
Authorized Shares: 400,000,000 – 400 Million
Shares Outstanding: 61,606,685 – 61.6 Million
Float: 56,000,000 – 56 Million or less
Market Cap: $15.4 Million - 61.6 Million O/S x .25

Near the end of March the O/S was 49.4 Million. Since then it has increased by almost 12 million shares. Since this time about 5 million shares have been traded. This also included a run up from $.10 to $.50. Therefore, the float has to be greater than 5 million shares but less than 56 million. In my opinion the share price should move up rapidly because the float is small and investors are holding long. It’s not like other penny stocks that have a billion shares outstanding. I also think insiders own at least 50% of the outstanding shares and perhaps all of the 12 million newly issued shares. With massive contracts nearly finalized, it makes sense that they would hold their shares for higher prices. The company also has no need for further dilution because they will have raised enough financing at the completion of the deal. IR Jack Eversull may or may not have noted the company may have plans to buy back some of the outstanding shares and has may have interest in moving to the OTCBB and eventually the AMEX.

Nevada Agency and Transfer Company
775-322-0626

Essentially the TA is semi-gagged. You can get information on A/S and O/S, but not the float or insider ownership. According to IR Jack Eversull there is some insider ownership.

Financing Package:
BGMO will receive a $1.5 Billion loan which will operate more as a line of credit. So as the projects are being developed funds will be released to complete the project. The timeframe for completing the three projects is 14-24 months. At this point, BGMO expects to earn profits, not revenues of $90-100 million annually for the contract life of 20 years. IR Jack Eversull may or may not think this company is undervalued for the opportunities and growth they have in front of them. IR John Pentony may or may not think the company is trading on low volume because it has taken over a year to conclude the deal.

Radio Show Interview May, 26th 2009: http://www.bergamocorp.com/?p=179

Other Notes:
IR Jack Eversull may or may not have noted that there were other projects in the works possibly related to solar energy. These projects could be PR’d early next week. It is my understanding that if one project receives financing than a chain reaction of projects could follow, but if the first project does not receive financing than the others will not follow. These new developments are unrelated to the Pakistan deal. If you satellite image the corporate address it appears to be run out of the home, but we do know BGMO has several employees. One thing the company struggles with is website technology and how to market the company to the investors. Quarterback Investor Relations is geared to creating PR’s and developing a company image, whereas the Eversull Group is more focused on behind the scene details like getting BGMO into different meetings with big name investors like Goldman Sachs.

John Pentony
469-252-3030

Jack Eversull
972-378-7917

My Opinion:
We have a ground level company with a market cap of $15.4 million planning to earn an almost guaranteed $90 million in profits within 26-36 months for the next 20 years. With a project worth more than $1.5 Billion for just the build, the $1.5 Billion is their cost, not necessarily what they will charge the Pakistan government; this is a huge opportunity for any person wanting to get in on the next big stock. The company also gets at least $105 Million from the Pakistan government if they receive financing. The chart has found support at .20 three times on the 60 minute chart after the first breakout. BGMO = BiGMOney.

**All of the DD I’ve provided I assume to be fact. I am human and I certainly may have made a mistake. Please do your own DD to confirm any of my findings.