Fuel for fire: conspiracy theory.
Yeah, I have a side of conspiracy theory as well. Try not to use it. You know, anyone doing so is a nut, right? The LAHO debacle brings out the worst in people.
A year or more ago, MSSV did a massive R/S leaving only about 11M shares in the O/S. Then they announced an increase to the A/S to a staggering 6.5B. Obviously they were going to dilute all over again. Or was it? It turns out they did nothing to increase their O/S.
Within the last year, LAHO maxes out their A/S to 4B....for what reason? They did nothing but set the cash aside.
Withing the year, LAHO announces the prospects of an RM with GSCG. Regardless of the high O/S, LAHO shares began to rise as a result of the announcement.
Shortly after, LAHO shares were hot. Talk around town. SHs were ready to buy-in at higher and higher prices. But who was selling? Who bought into LAHO during the enormous increase of O/S? And who would be selling - attaining great profit from the pps rise - While other traders bought those shares with a long-hold perspective?
Crash! In the midst of a rising LAHO pps, SEC steps in and closes down the shop. LAHO shares dead in the water, on a boat heading for limbo.
No grays, CEO said on the way to rectify and LAHO shares would rise further as trade would begin again!
Oh, wait...in the interim, the RM gathers up a third participant in the RM. MSSV enters the ring, and, lo and behold, LAHO throws in its assets/debt to the new ringer who only has an 11M O/S. Where did they come from? How is this new arrangement going to work for LAHO shareholders? Wasn't that clear was it?
What if? There seems to a possible connection here. Lets say GSCG has contacted MSSV over a year ago with an idea that would run something like this:
How would you like to be part of GSCG? We have already approached LAHO with this idea. Could work out for all managers represented here.
Couldn't help noticing as a result of all your R/Ss, MSSV has only a 11M O/S. Your failure in operations also blends well with what operations LAHO has failed at. Kinda nice to consider them a pair...
So, lets unite. Your part will be to raise your A/S to 6.5B and be prepared, when I call you, to agree to accept LAHO in partnership with its soon-to-be 4B O/S and outstanding debt. Relax....follow along here.
When LAHO offers its huge dilution...we and our associates will buy as many as we can get up dirt cheap. Then we will announce a prospect of an RM between LAHO and GSCG. You can imagine how fast LAHO's PPS will rise. Our selling off large blocks of LAHO shares then should yield plenty of profit for us right up front.
Now the good part, then we will touch base with certain individuals to send SEC concerns about LAHO's dealings. Enough of them, and I can pretty well assure you that SEC will shut LAHO down using a well designed appearance of non-compliance for not sending in reports for over 2 years as their reason!
Now, you MSSV, being our silent partner will be drawn into the limelight.
We will announce our arrangement with you, forgoing any effort on LAHO's part to try to secure trading rights for LAHO shares by agreeing to sell all their rights to the GSCG RM to you for 1000 convertible preferred shares! Sounds above board doesn't it?
Of course, the new arrangement will assure LAHO SHs that their rights are covered in the deal - they will still have a part to play in the RM when it occurs. He, he. Our lawyers assure us that using certain language in the agreement to that affect will in fact make the 4B LAHO shares go away.
Agree? OK. We will send you the necessary 8-K over right away...to be used after we announce our arrangement. Call me anytime.
My imagination of course! Loose knit speculation. Hardly something anyone could prove. Just pondering on potential possibilities surrounding the LAHO issue.
