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They haven't updated their website in about two years, so no surprise there.
Hopefully we get an update from Hemiwedge this week.
I believe that there is a difference between the 15-12g that they filed and the revocation issued by the SEC. 15-12g is filed when a company voluntarily chooses to delist from a major exchange (and the associated reporting requirements). Revocation by the SEC bars trading of shares on ALL exchanges, including pink sheets.
http://www.martindale.com/legal-management/article_Holland-Hart-LLP_512760.htm
Reporting public companies that are delinquent in their filings need to beware of the potential consequences of an enforcement action under Section 12(j) of the Securities Exchange Act of 1934, which could include the end of all public trading in their stock.
In a previous article I noted how the SEC is increasingly using its powers under Section 12(j) to revoke registration of companies’ stock. Between September 8 and 12, 2008, the SEC issued orders either instituting proceedings under that section, or revoking the registration of the stock of dozens of public companies, many of which were the subject of reverse mergers. These orders highlight the problems associated with inactive or “dirty” shells and the need to conduct due diligence before acquiring them.
Section 12(j) proceedings destroy shareholder value. Once these proceedings are instituted, the SEC staff is unwilling to dismiss them even if a company agrees to voluntarily deregister its stock by filing a Form 15 with the Commission. Further, even though the Pink Sheets does not require companies to be current in their reporting obligations, the NASDAQ has started to cancel the ticker symbols of companies subject to Section 12(j) orders, thereby ending all trading, both on the Pink Sheets and elsewhere. In so doing, the NASDAQ is relying on statutory language indicating that brokers and dealers are prohibited from effecting transactions in stocks whose registration has been revoked. The result of NASDAQ’s actions is that shareholders may suddenly find themselves holding shares that they can no longer sell on the open market. By effectively imposing the “death penalty” against these public companies, the regulators are ignoring the resulting harm to shareholders, who are likely to file lawsuits against management of these companies for not warning them of the pending cessation of trading.
In light of the above, companies facing Section 12(j) proceedings have very few options. First, they should take advantage of the “Wells” process by arguing any exculpatory facts to the Commission (such as a change in management), accompanied by immediate remedial efforts to file all delinquent Forms 10-K and 10-Q. Second, they should consider arguing these same facts and otherwise defending themselves in the administrative proceeding, since a law judge may be more sympathetic than the SEC staff. A law judge could conclude that a temporary trading suspension rather than revocation is a more appropriate sanction. Third, to avoid shareholder surprise, delinquent filing companies that receive a “Wells notice” from the staff should issue press releases warning shareholders that public trading in their stock may end soon. Finally, it could be that the only way to resume trading is to prepare and file a Form 10 registration statement re-registering the company’s stock. The outcome of the time-consuming and costly registration process would be uncertain in such circumstances.
What does it involve for them to get it to trade again?
What did Matt say?
I sure hope that that is the case. My online broker doesn't even recognize the HWEG ticker any longer.
True enough. At the very least, a learning experience. Fortunately I did sell a good chunk of my shares over the past two months.
Well, I did read this article, which says that there may be a small glimmer of hope...
http://www.martindale.com/legal-management/article_Holland-Hart-LLP_512760.htm
In light of the above, companies facing Section 12(j) proceedings have very few options. First, they should take advantage of the “Wells” process by arguing any exculpatory facts to the Commission (such as a change in management), accompanied by immediate remedial efforts to file all delinquent Forms 10-K and 10-Q. Second, they should consider arguing these same facts and otherwise defending themselves in the administrative proceeding, since a law judge may be more sympathetic than the SEC staff. A law judge could conclude that a temporary trading suspension rather than revocation is a more appropriate sanction. Third, to avoid shareholder surprise, delinquent filing companies that receive a “Wells notice” from the staff should issue press releases warning shareholders that public trading in their stock may end soon. Finally, it could be that the only way to resume trading is to prepare and file a Form 10 registration statement re-registering the company’s stock. The outcome of the time-consuming and costly registration process would be uncertain in such circumstances.
I appreciate the input.
did you submit a bid that met the ask price?
and what do you mean 'for now'?
Did you receive a response from Matt?
I don't know. However, there have been many days in the past several months with 0 shares traded. We'll have to keep an eye on this.
I spoke with Matt, and he reiterated what was stated in last week's update; that HWEG no longer is obligated under Sec 12, but is still required to file quarterly reports, 8-k's etc, under Sec 15.
The SEC Proceeding that we saw today was essentially just confirmation of the 15-12g filing from December 2010, as I understand it.
So what now? How do we figure out what happens to our shares? I guess a call to IR is warranted.
This is what I find most confusing. Why would they make this statement just days before this SEC proceeding, if the result is that their shares can't trade, period?
Looking at the SEC filing, it only mentions revocation under section 12. So isn't entirely possible that HWEG can still trade under 15?
Looking at the SEC filing, it only mentions revocation under section 12. So isn't entirely possible that HWEG can still trade under 15?
And that is effective as of today? I see bid/ask on HWEG....
So this really has no material effect beyond the 15-12g filing in December, right?
OK, but does that suspend all trading in HWEG? Or, can they still freely trade on the pink sheets?
Can you explain to me how this differs from the Form 15-12g they filed in December? What, exactly, does this mean?
Good observation about Stillwater. Could be. Still, I find it hard to believe that after a strong year in 2010 that investors would bail now.
None that I'm aware of. Odd, considering that the update released last week was positive overall. Only thing I can think of is that some investors are spooked that audited financial reports still have not been brought current.
Getting slaughtered today, .051????
Ensco acquire Pride
Both of these companies (Ensco and Pride) are industry stalwarts in the oilfield services sector; think what JC Penney acquiring Sears would be to retail - minus the overlap in operations.
Former Pride COO Rodney W. Eads joined Hemiwedge's Advisory Board last spring. Hopefully he will be able to leverage his experience and professional network into sales leads for HWEG. (Hoopefully he has done so already via Pride, but now with Ensco in the mix, the oppurtunities are that much greater).
CONROE, Texas, April 6 /PRNewswire-FirstCall/ -- Hemiwedge Industries, Inc. (Pink Sheets:HWEG.pk - News), a global supplier of engineered valves, today announced the appointment of Rodney W. Eads to its Advisory Board of Directors.
Mr. Rodney W. Eads has over 35 years of experience in upstream energy business. The majority of his career has been with Exxon, serving 20 years in engineering and operations management primarily focused on drilling and completions of oil and gas wells. For the past 13 years he has served as an executive officer of two public mid-cap companies. Mr. Eads served as Senior Vice President of Worldwide Operations for 10 years at Diamond Offshore Drilling Inc., and more recently, as Executive Vice President and Chief Operating Officer of Pride International, Inc. for 3 years, with both positions included P&L and HSE responsibility for global operations. During his career, Mr. Eads has managed operations in 27 countries and had responsibility for global workforces as large as 14,000 employees.
Marketing and Operations Update released yesterday!
Revenues increase approximately 190% for the fiscal year ending December 31, 2010 vs same period in 2009
Marketing and Operations Update
CONROE, Texas, Feb. 3, 2011 /PRNewswire/ -- Hemiwedge Industries, Inc. (Pink Sheets:HWEG.pk - News), a global supplier of engineered valves focused in the oil/gas production, refining, mining, process, pipeline, power, mid-stream and petro-chemical markets, issued the following marketing and operations update today of the Company's progress. Since the Company's update release in September 2010, the Company has acquired three new customers domestically and internationally and continued to grow operations.
Revenues for the Fourth Quarter and fiscal year ending December 31, 2010
Unaudited revenues for the fourth quarter ending December 31, 2010 were approximately $388,400 or an increase of 16%, as compared to the fourth quarter 2009. Unaudited revenues for the fiscal year ending December 31, 2010 were approximately $2.92 million, or an increase of about 190%, compared to the same period in 2009 of $1 million. Recent feedback from customers and partners indicate that in 2011 and 2012 the Company should see more larger size capital projects getting launched in the industries in which we focus. Currently management believes our sales growth and market acceptance will continue next year and beyond.
"While our revenue targets earlier in the year were at a range above $3 million in sales, we encountered some shipment delays resulting in some revenues shifting into the first quarter of 2011. We are pleased that the market acceptance of Hemiwedge® Cartridge valve has continued particularly in our target areas of oil/gas production, mining, process and power markets," stated Ken Chickering, CEO.
New Customers and New Applications for Hemiwedge® Cartridge valve.
The Company's patented Hemiwedge® Cartridge valve product line continued to grow in the fourth quarter of 2010 with new customers in lime slurry mining applications, heavy oil, products pipeline storage applications and re-orders in gas compressor applications.
Public filing status
The Company filed a termination of registration of its common stock under Section 12(g)-4(a)(2) of the Securities Exchange Act of 1934. However, the Company is still required to file reports with the Securities and Exchange Commission under Section 15(d) of the Securities Exchange Act of 1934 and the Company intends to continue its efforts to become current with its reporting obligations thereunder. The Company's common stock remains quoted on the Pink Sheets under the symbol "HWEG.PK"
http://finance.yahoo.com/news/Hemiwedge-Industries-Inc-prnews-3021818319.html?x=0&.v=1
Revenues increase approximately 190% for the fiscal year ending December 31, 2010 vs same period in 2009
Marketing and Operations Update
CONROE, Texas, Feb. 3, 2011 /PRNewswire/ -- Hemiwedge Industries, Inc. (Pink Sheets:HWEG.pk - News), a global supplier of engineered valves focused in the oil/gas production, refining, mining, process, pipeline, power, mid-stream and petro-chemical markets, issued the following marketing and operations update today of the Company's progress. Since the Company's update release in September 2010, the Company has acquired three new customers domestically and internationally and continued to grow operations.
Revenues for the Fourth Quarter and fiscal year ending December 31, 2010
Unaudited revenues for the fourth quarter ending December 31, 2010 were approximately $388,400 or an increase of 16%, as compared to the fourth quarter 2009. Unaudited revenues for the fiscal year ending December 31, 2010 were approximately $2.92 million, or an increase of about 190%, compared to the same period in 2009 of $1 million. Recent feedback from customers and partners indicate that in 2011 and 2012 the Company should see more larger size capital projects getting launched in the industries in which we focus. Currently management believes our sales growth and market acceptance will continue next year and beyond.
"While our revenue targets earlier in the year were at a range above $3 million in sales, we encountered some shipment delays resulting in some revenues shifting into the first quarter of 2011. We are pleased that the market acceptance of Hemiwedge® Cartridge valve has continued particularly in our target areas of oil/gas production, mining, process and power markets," stated Ken Chickering, CEO.
New Customers and New Applications for Hemiwedge® Cartridge valve.
The Company's patented Hemiwedge® Cartridge valve product line continued to grow in the fourth quarter of 2010 with new customers in lime slurry mining applications, heavy oil, products pipeline storage applications and re-orders in gas compressor applications.
Public filing status
The Company filed a termination of registration of its common stock under Section 12(g)-4(a)(2) of the Securities Exchange Act of 1934. However, the Company is still required to file reports with the Securities and Exchange Commission under Section 15(d) of the Securities Exchange Act of 1934 and the Company intends to continue its efforts to become current with its reporting obligations thereunder. The Company's common stock remains quoted on the Pink Sheets under the symbol "HWEG.PK"
http://finance.yahoo.com/news/Hemiwedge-Industries-Inc-prnews-3021818319.html?x=0&.v=1
And the volume dries up to nothing just as quickly as it shot up to levels not seen in a year or more. Puzzling.
Kenton Chickering.
You might find this 8-K filing from last year interesting:
http://biz.yahoo.com/e/100708/hweg.pk8-k.html
In your opinion, how long until HWEG moves beyond the show me stage?
But why not buy now, when it's around 10 cents per share? Have you read the several marketing and operations updates that were released over the past year? Sales have been growing. We're on the right track, but perhaps not moving ahead as fast as we need to be.
Volume way up again today.
How long could it take to work on the shareholder update? I also get the sense that this means that we won't be seeing audited financial statements for a while yet.
Volume up again this AM. Around 90K shares traded vs. 108K traded yesterday.
Volume way above normal once again.
I received an e-mail from Matt as well, which indicated the same.
Did you get a reply?
How much time will you give them? I really though that the financials would have been released by the end of last year. In fact, originally, they had indicated that they would have them filed by the end of last summer. What could be causing the delay?
So, the goalpost has been set and missed twice already in the past year. Now, there isn't even a goalpost that I'm aware of.
Nice action today, though I suspect it was only one buyer.
Good volume, about 10x average TTM. along with a nice rise in share price.
Hemiwedge's Youtube page:
http://www.youtube.com/user/hemiwedgevalveinc