The way I read the press release is this. Hisc purchased a shell company and currently owns all the outstanding shares of that shell. Hisc then entered into an agreement with the shell and sold part of Hisc's assets to the shell. The shell is paying for those assets by issuing 1 share of shell stock as a dividend to every Hisc shareholder for each 50 Hisc shares owned. So the shell now has assets. The next step is going to be for the shell to enter into a purchase agreement with actsoft to buy all of actsofts assets and pay for those assets by issuing shares in the shell to actsoft. Or the shell will just exchange the shell's share for Actsoft shares. So in the next weeks, the shell will be owned by Hisc, Actsoft or Actsoft shareholders, and Hisc shareholders. If the shell company stock takes off, so too shall Hisc stock, because Hisc will own it. This is somewhat similar to the Wheaton River Minerals deal. The market was not giving wheaton river appropriate value for its silver holdings and income. Wheaton river bought a shell company and entered into an agreement with the shell whereby wheaton river sold all of its silver output to the shell (now known as Silver Wheaton)at a fixed price. It became the only company which is exclusively a silver play and as the share price went up so did the share price of wheaton river. Wheaton river then merged into Goldcorp. In Hisc case, I would imagine to satisfy ACTSOFT that it was not going to give up more than it received, if it merged, the shell had to be funded with some assets. The dividend to Hisc shareholder disperses the stock quickly among many hands to facilitate trading the new shell company so everyone benefits including HISC itself. Hisc shares will go up if the shell stock goes up.
