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Thanks JonyJL. So it is exactly as it reads in the 8k. Not complicated at all. Cnuv shareholders get a 20% stake in the combined company. Anything over a 10 mil market cap after aquisition and you make money from these share prices. I think its a really good bet right now.
Looks like people were trying to bump it both ways when the spread got wide. No big deal. Just wanted to see if the close was a paint job on a few hundred shares. Thanks Pimp-n.
How many shares were sold at 11 and 12 just before close?
At least that is how I look at it.
Thank you stingray. Given the circumstances, whether there will or will not be a R/S is not really a concern. The market cap of the combined company is.
You are right about earnings vs. sales as well. I guess we really won't know what the margins are until numbers are produced. Lets just hope they aren't doing this for free. My best guess is between 15 and 20% profit considering they claim to come in at 40% less than others, but it is a guess. I still think there is alot of money to be made here whatever the case may be.
I agree MJA. It reads like a R/S to me but I am no expert by far. But, if it is, it seems like we will have a smaller piece of a much bigger pie, so to speak. That is ok with me because as you pointed out, it could be a move to get the share price up so larger investors could buy in. This is a proven business model that Surgline has and they could become very successful. If this is the case then it will not be a get rich quick move, but could prove to provide big gains for years to come. Also in this scenario, Fong, will be true to his word of building shareholder value. We will see how it all unfolds
I will do some research and try to fully understand how this transaction will take place. In the mean time I did some calculating and figured that a 9 mil market value after the aquisition would be break even at the current share price if there were a RS. Considering what we know about sales for SL so far (and I am sure they deal with more than one company), a market value of 9 mil. seems pretty easy to me. Time will tell. I am long and strong on this one.
Will do. Thank you. Not a good idea to jump to conclusions just yet. Could be very costly.
I don't know jerlegg. It reads to me that there will be 40 mil prior to closing the deal. After that SL will get 140 mil of the commons. Could be a RS 15 for 1. I am not saying it is, I just have to read this more thoroughly.
What does "Barry, were are missing 20,000,000 shares" mean in article 1.3 of the 8k?
I just took my 1 mil off the ask at 18. I hope this moves up some today.
Luke. Were all the financial reports for cnuv up on the SL website last week or did those just go up. They must feel pretty confident about this deal to incorporate all this on their website. I am adding at least 500 k more on monday if it doesn't run too much.
It was replaced on investor info on the surgline website.
Yes this is feeling like a RM. I like how on the SL website they had Surgline Inc. as the company name with CNUV info. A couple days later they changed it to China Nuvo Solar. Maybe the cat was accidentally let out of the bag.
Remember this is only one distributor. There could already be several more out there. I think if this aquisition gets finallized we all made one hell of an investment.
You are right. This is awesome. I feel real good about the seven figure annual run rate. It's not an exact number, but it sure is revenue.
That is funny they changed thw stock info page from Surgline Inc. to China Nuvo Solar.
Even if cnuv managed to dump the entire a/s into the market, or they give roughly 900 million shares to surgline that only comes to around 2 mil at the current price. It doesn't seem like alot of money to pay for a co. like this. For one Fong does not seem to want to dilute so I doubt there are 1.4 billion shares out there either common or restricted. Second, it seems to me that the only real value to Surgline would be access to the public market. It looks like they want this shell. Maybe some of you more experienced investors could explain some other possibilities.
It says Surgline Inc. not China Nuvo Solar.
Has anyone noticed that CNUV stock info is already on the Surgline website?
I hope this moves slow or down a little in the am. I am planning to bump my position to 1 mil. Tomorrow.
It is explained in the 10q about the new shares outstanding.
That pop yesterday afternoon makes me think someone wanted in fast in this range. I get the oversold argument but that doesn't seem the case. It makes me wonder what is going on behind the scenes.
I guess people have to do what they have to do. I have nothing but time to see how this unfolds. I do like the fact that this company has so far refused to dilute in order to seal this deal. I personally have never seen that happen in the OTC. It speaks volumes abouy Fong's integrity.
That was unexpected. Anyone care to share a theory about that EOD move? Pretty good volume also.
The PR states, "subject to the delivery of satisfactory prototypes". I would assume there is a working prototype, but customers will want prototypes that fit their particular application before they commit. At least that is how it works in the manufacturing industry I work in.
Another thing. If someone wanted to borrow millions of dollars from me I would want to know what is the cost of manufacture and what is the potential profit margin?When will production start? Who are potential customers? Basically how are you going to get me my money back? I would want answers and I think CNUV has them ready.
I think you are right that the deal is going to go through. To me the Freya aquisition is not worth much on its own because right now it is just another company with tech and no real revenue. Hopefully the financing for all of this includes money for a manufacturing facility or someone to sub it out to, as well as a marketing plan. Personally I think all of this might be rolled into this package which would explain why there have been delays. If it all gets dropped at one time like, this is where and how we are manufacturing our product and this is our sales and marketing team, and here is our potential for orders, then this baby will fly fast. Maybe I am expecting alot, but reading through the pr's it sounds like that is how it could go down. Examples are "purchase order financing", seeking operating capital, and bringing on a team from Freya for rapid market entry. Maybe I am wrong. Who knows.
That is the assumption I am banking on.
It doesn't mean anything as far as the aquisition is concerned. Late 10q for the period ending April 30th. Probably have been too busy with the planned aquisition to bother with getting the 10 q done on time though. Pretty common on these types of stocks. That is my opinion.
I just created my account tonight but I have owned a position in CNUV for about 3 months. I would like to thank people like Luke, MM,Haughtstock, and jerlegg for doing their homework and sharing it with others. It provides people with info on where to start your own DD. I believe this will be a successful company based on my own research whether or not there is a denfinitive agreement by tomorrow. In the future I will share anything I find with the board. Good luck to everyone.