Replies to post #109605 on Southridge Enterprises Inc (SRGE)

[cash4]

I can live with that, besides 10 days is not over yet and many things can happen until then

I am thinking though that many such companies would have been, or will likely be, targets to be merged with, or bought out by, larger companies if such super products, or patents, are actually in development that are worth their weight in gold. Why? Because if shares are available for public trading, such companies can be bought or controlled for a fraction of the price then if traded on a stock exchange or even the OTCBB. This deal is possible because of the low number of shares outstanding.

• The stock may not be solicited or advertised - so pump-n-dump scams by broker, mail, fax, etc are limited.

• Grey Sheet stocks that do have a public offering of shares cannot be shorted. This is a benefit in that unreasonable plunges in share values are minimal because broker-dealers and other investors cannot short the stocks by law.




Gray sheet stocks usually trade much higher than they would when officially traded on one of the exchanges considering the size of the company, but that is mostly because so few shares exist with such low market cap - less than $1 million usually - in comparison to publicly traded companies.

http://www.extraordinaryinvestor.com/grey-sheets.html