GNCC Capital Inc (GNCP)

[Euripides90]

Here's why FINRA denied another company an R/S after billions of shares were released "without being properly vetted" via dubiously structured agreements with toxic financiers among others, and this Sept. 2014 action has been taken as a precedent by other companies with a history and/or intention of getting authorization for massive increases to A/S, diluting then wanting another R/S:

http://www.sec.gov/Archives/edgar/data/1290506/000100201414000516/exh99-1.htm

This is a must-read for everyone trading pennies partly as some of the names like Asher, Kramer etc. crop up again and again...

P.S. Yes I'm well aware that the company has denied contemplating an R/S in its recent PR and has done so before -- convenient to deny considering something detrimental to shareholder value when it knows it would likely be denied anyway, so why not look like a hero?

Many companies have denied "any plans" (maybe with caveats like "at this time") to R/S but then went ahead and did one anyway soon after...gee and no companies deny dilution even as they have asked for and received approvals for huge A/S? Sometimes at the same time they claim plans to increase shareholder value by either a buyback program (which might be canceled due to changes in management or "new developments") or another R/S, however inconsistent the actions may be...

I'm not saying that GNCP management did or didn't intend to R/S or that they're not at this point sincere in buying back shares, but taking anything at face value would be naive. The attitude most penny stock management counts on.