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The issue is not ownership, it's DILUTION
See my earlier note that I'm replying to.
Many shareholders probably do not really care who screwed them my diluting their share of ownership in a company. They probably only care that they were screwed.
Unfortunately, Seth has a history of using extreme dilution to suck shareholder value out of a company and divert it to non-productive uses. That is to enrich himself and others disproportionally. Not once, not twice - many times.
Patent grants have nothing to do with efficacy.
At least, that is my understanding. And I will be happy to be corrected if I'm wrong.
Just came across this post about Seth's past.
Quote:TrxNo: 77314. 01/22/2009. SETH SHAW (Green Eagle Capital). Issue Shares: 5,000,000. Cert: 3228
In MAY 2009 did you feel an INSIDE/INSIDER URGE to have restrictions removed on that 5,000,000 shares transaction you made in JANUARY 2009 Mr. Shaw?
Is that why on MAY 20, 2009, the BOMART letter is for two HIDDEN people and one is for 5,000,000 shares REMOVAL of restrictions?
Who organized Noble conference which catapulted SpongeTech shares +2,000% in on JUNE 8 and 9 2009?
Is that why you sold a first 2,000,000 block of NEWLY MADE UNRESTRICTED the DAY before shares on MAY 21, 2009 (1 day after Bomart letter uh?) right there on JUNE 23, 2009 Mr. SHAW?:
"3789 GREEN EAGLE CAPITAL CORP 05/21/2009 06/23/2009 2000000"
Was the person who organized Noble Conference awarded the chance to throw FIRST PITCH at Coors Field for her "good work"? -> http://web.archive.org/web/20100406032000/http://www.spongetechinc.com/marketing/baseball_gallery
UH?
__________________________________
"SpongeTech® Delivery Systems, Inc. to Present at Noble Financial Equity Conference in Florida
SpongeTech® to Present at 9:15 am EST June 8, 2009
NEW YORK -- June 08, 2009
SpongeTech® Delivery Systems, Inc., America’s Cleaning Companyâ„¢, (SPNG) is pleased to announced that the Company will be presenting at Noble Financial's Fifth Annual Investor Conference, a two day conference from June 8-9, 2009, at the Hard Rock Hotel in Hollywood, Florida. SpongeTech®'s CEO, Michael Metter, and COO, Steven Moskowitz are scheduled to present SpongeTech®, America’s Cleaning Companyâ„¢, at 9:15 am EST, Monday June 8, 2009 and will host a question and answer session after the presentation..."
Remember that picture?
http://web.archive.org/web/20100406032000/http://www.spongetechinc.com/marketing/baseball_gallery
"SpongeTech®'s Seth Shaw Throws First Pitch at Coors Field"
A little research into SpongeTech and Seth Shaw paints an interesting picture.
I am sure TAUG is in good (soapy) hands...
"hmmm Rs is Never good ..."
Assuming Rs means reverse split, I disagree.
Please explain.
How is this different than the Wellness products?
The only product differentiation I see is ....
wait for it ...
wait for it,
It's a REVOLUTIONARY roll-on applicator!!!
Is that all there is?
Reverse splits are seldom the real issue.
It's the financial situation leading up to the reason for a reverse split that is the root cause for concern.
Doing a reverse split to actually get off the OTC and onto Nasdaq is almost always good for an existing shareholder. The micro-second after the reverse split, the market capital of their investment hasn't changed. They just have fewer shares, each of which is worth more. And after the split, the market for their shares has increased, and they will likely have better liquidity and exposure for their company.
The most common reason for reverse splits having a bad reputation (on the OTC) is the root cause that often proceeds it. DILUTION.
Unfortunately for TAUG investors, TAUG has diluted big time. Whether there's an upcoming reverse split is kind of immaterial.
If an investor invested in TAUG several years ago, their claim on the companies distribution has been cut in half, or worse. So if they owned 1/1000th of the company when they bought, their SHARE is now 1/2000 or perhaps even 1/4000. The percent of the company they own now has been significantly eroded (i.e. diluted).
From an overall market perspective, the big downside of reverse splits is that they enable serial failures.
We are of the same mind - nice post!
Good question - I don't know why
Honestly, I'm amazed that TAUG is still alive.
Inconvenient truths are often ... inconvenient
Thanks for posting that. There is nothing in your post that appears to be untrue. I found it insightful and thought provoking.
"put it away and wait for a lucky break"
I think that is reasonable advice. But personally, the "break" I'm waiting for, is for actual sales revenue and profit to ramp up dramatically. I expect that to happen in 2017.
"No-one really knows who was selling."
Amen.
Most price drops have several plausible causes. But a speculation about which one was the cause is an opinion, not a fact.
As I recall, Seth used to work for a hedge fund.
Sounds like fake news to me
I have capital. No reason to fold a good bet.
I'm not worried that DECN will tank and don't believe anyone else should be either.
Nah. If it tanks it was the best 400 grand money can buy. The icing on the cake would would be Bozo Berman getting banned from being an officer of a public company, keep an eye out for that one.
I'm not worried that DECN will tank and don't believe anyone else should be either.
No COLLAPSE - just a reversion to the mean.
No collapse or dumping
Minor slow correction from last month's spike. Still about the same price it was this last summer.
Only 100 Million?
I'm glad Berman didn't take lessons from Seth. Seth has added 1 billion (that's 1000 Million) additional diluting shares since he's been at TAUG.
No one is dumping that I can see and the volume is pretty low.
"Splits allows for or enables repeated failure."
Reverse splits can enable failures, and I agree that is a downside. But there are many upsides too.
I just bristle when folks try to scare others with: "I hear XXXX may do a "reverse split". That is muddled thinking.
What existing and potential investors should evaluate is the chance of XXXX failing. Any reverse split, is just an incidental detail, until after the funeral.
But when you have had your shares cut 100 times and the share price collapses it is worthless.
The share price collapses had nothing to do with the reverse splits. They would have collapsed with or without them.
"Anyone can apply a definition, why don't you explain what actually happened as the facts are historical."
Because I don't know what happened. All that stuff happened way before I became interested in DECN and I have no interest in the details.
Here's a simpler example of how reverse splits work
Let's say the current share price is exactly $0.001 and I own 1000 shares of it. So the market value is exactly $1.00. If the shares go through a reverse split of 1000 to 1, I end up with a single share with an immediate market value of $1.00. My total market value has not changed by the reverse split.
Reverse and forward (i.e. "normal" share split) are mirror images of each other. They are like debit vs credit.
We often see changes in market value, around the time of an announced split. The reason is that splits may alter market perceptions of the future value the stock. This applies to reverse and forward spits.
Then why do the splits
without the splits this would be sub.001
I have - they were wiped-out before the reverse split
There is no evidence to support your assertion
I chose the realistic part. A hard price decline generally follows a reverse split.
The positive examples were "cherry picked", and those positive examples are few and far between.
I agree with this part of the article
I'm not surprised, but you chose the most negative part. I chose that article because it described both ends of the spectrum. Here's the other side from my referenced article, that you chose to omit.
And please note that there is nothing in the article that says most reverse splits are DEVASTATING to share holders.
"Companies pull off reverse splits to keep their stock prices out of the cellar. In part, it's aesthetics and public relations: A stock price in the pennies-to-a-few-dollars range just looks bad. But there are also practical reasons: To remain listed on a major stock exchange, a company usually has to maintain a stock price above a certain level, often $1. In 2009, for example, financial giant American International Group was in danger of being pulled off the New York Stock Exchange when its stock fell below $2. The solution: a 1-for-20 reverse split that boosted the price above $20. In 2011, Citigroup executed a 1-for-10 split that took its stock from around $4.50 a share to about $45 literally overnight."
A test is not required
Please read the following and identify what you disagree with.
http://finance.zacks.com/reverse-stock-split-good-bad-2298.html
Reverse splits do not directly affect shareholder value
When company goes sub-penny, or even lower, the damage is already done. A reverse split is almost always a simple accounting change that does not affect market value for the vast majority of share holders.
Please tell me what you disagree with in this short article.
http://finance.zacks.com/reverse-stock-split-good-bad-2298.html
TAUG currently has no cash, no assets, no revenue and no product. I think saying they are in a hole, is a fair characterization.
Ultimately, the Board and CEO are responsible for TAUG's results, not Cowan or certainly not DECN.
More Bluster, and that's all, from TJG
His points had nothing to do with getting current on filing. Nice try.
What's that sound? Whoosh!
When Canadian TAUG investors finally become free to sell their TAUG shares. Look out below
Where can I buy TAUG's product
Nothing happens - 10Q's are about the past. TAUG's doesn't look very strong to me.
You're welcome. Some times the most important facts get clouded by a lot of useless noise.
Alas, TAUG dug its own hole. The latest TAUG 10Q has nothing to do with DECN.
A factual update for potential TAUG investors
Source: 2016-09-30 10Q Quarterly Report filed with OTC on 2016-12-05
All results are unaudited and all monetary figures are stated in US dollars.
Current Assets: $438 (including $0 cash)
Property & Equipment: $0
Current Liabilities: $2,961,254
Revenues: $0
Gross Profit: $0
Loss from operations: $311,265
Other income expense: $233,913
--------------
Weighted average number of shares outstanding: 1,361,122,811
TAUG plans to develop, market, distribute and potentially license a broad array of products and technologies that may help individuals who are affected by muscle tension.
It appears to me that TAUG is working on defining products, financing, marketing and distribution, but no products or services are currently offered.
----------------
TAUG, in its lawsuit, seeks damages against Cowan Gunteski (and its malpractice insurance policy) exceeding $4,000,000. There is no guarantee that the Company will be successful in this lawsuit.
1 BILLION SHARES OF DILUTION - THANKS SETH!!!
IMO - I don't care.
Share-holder value is not a significant factor in any of these bilateral public discussions on this board. I don't pretend to know any of the behind the scenes dynamics. But this big-picture guy's assessment so far is: I'm disgusted.