Messaben Corp (MSBN)

[Milesblue42]

RED Flag? ChinaCrazyBuy Letter of Intent?

Was the ChinaCrazyBuy letter of intent the real deal.....or just a Failed Pump?

http://www.marketwatch.com/story/china-electronics-holdings-inc-otcqb-cehd-to-acquire-anhui-e-commerce-provider-china-crazy-buy-2014-12-18


http://www.referenceforbusiness.com/small/Inc-Mail/Letter-of-Intent.html

But according to Claeys, "the disadvantages of the letter [for the seller] usually outweigh the advantages." He pointed out that once a prospective buyer has a signed letter in hand, he or she "tends to terminate its 'courtship' of the seller and toughen its stance on the details that remain to be worked out, including the seller's representations and warranties about how the business is doing, the indemnities for a breach of these representations, and covenants about how the business will be run prior to the change of ownership." Of course, the above-mentioned factors also tend to make letters of intent popular with buyers.

Read more: http://www.referenceforbusiness.com/small/Inc-Mail/Letter-of-Intent.html#ixzz3aWaKYBKL