No, it's not the par value as it clearly says here:
On May 3, 2022, the Company sold and issued a total of 53,550,000 shares of the Company’s common stock at a purchase price of $0.001 per share, to the following four shareholders: Lu Zhengpeng, Li Xiaoping, Mi Ruifen, and Yang Li.
The key words here are "purchase price." Par value is usually a default of 01 and just a formality these days. It's from days of old and just included in legalese for all practical purposes.
This was a true purchase at .001, so that's her valuation of the company. She could have paid .01 per share and received 5.3 million shares. Or, paid up like us to 2 cents a share and received 2.5 million shares. Or rather, *they* chose to do this. I call that the buddy system. I would have given them twice the amount of money for half the dilution, but they didn't go to the public. That's extreme greed to me. The three of them raised money internally. Two on the BOD, and one obviously in close relations (ie, buddy). That's mega dilution at our expense. So, BUYER BEWARE stands.
A very BAD capital structure here as I see it. Certainly does not have our well being in mind. By those actions, I feel "loathed." You probably don't want to know my complete unbarred thoughts here as, believe me, I do a lot of biting of the tongue around here as it is.
One has to wonder what kind of "negotiations" went on behind the scenes here. Did Wang Fei get on his knees and say, please, please, please make it .002? I beg you. I'll kiss your feet even! 25 million shares is enough dilution. It's only $50,000. NO, screams Yang, .001 or nothing!
Or, did go something like this? Yang Li offers .002 and Wang Fei says, PFFT. Ehhh,make it 55 million shares at .0001. We are in this together, me and you!
Did anyone ever think to themselves: Hmm, I wonder if we could raise $1M at 2 cents? Perhaps from their own partners, even? It's not like they have to look far and wide.
