Reverse Mergers & Low Float Plays

[Potse]

FWFW(.50)...accumulated a position......

17.75M shares outstanding
451K unrestricted shares

Accumulated shares from the sub-20 cent level to 50 cents. I found it extremely difficult to get any sizable amount of shares under 20 cents, so I decided to be a little more aggressive when I saw the ask price drop under 40 cents. Currently averaged in under 39 cents.

Roy Tang purchased control of the shell in July of 2021 for the purpose of bringing his Asia-based financial services firm public (Flywheel Financial Strategy). Around mid-December of 2021, Flywheel had a listing ceremony/celebration (as per the company website), and from that time forward the company has identified itself as an OTC-listed company. The problem is that the Flywheel SEC filings still do not show the reverse merger (movement of Flywheel's assets/liabilities into the shell) has officially occurred yet. So that is the primary risk on this play.

I am working under the assumption that this RM will become official at some point. I think the CEO has a pretty strong desire to eventually have this company listed on the Nasdaq. Unless there is some extremely negative change in the final structure (which is certainly possible here), the risk/reward around these prices looks very interesting to me. The legacy share count appears to be under 1.6M shares, so at my current average I bought at a legacy share valuation of under $610K on this shell/RM.

https://flywheelfs.com/
https://www.youtube.com/channel/UCa2ijfjV3cLBw-eakqvX8Pg
https://www.facebook.com/financialeliteHK