This is in the 8K filing. Now that I have re-read it and have a better understanding of its implications, I caution everyone to be very careful here, so it does not end up like MRXT/TYHR.
IF they effect the merger as illustrated (the merger has not yet been officially consumated) this would equate to a 1:100 RS, but NOT affecting Renyuan's shares! That is the ONLY way the current share structure would equate to 1% of the OS residing with existing shareholders, and 99% with Renyuan.
Read, and make your own decisions of its meaning.......I wish everyone nothing but the best of luck!
"Because the Company possesses only nominal operations and assets, any reverse acquisition, whether with China Renyuan or with any other company with existing operations, is likely to result in the issuance of additional securities to China Renyuan, and/or its affiliates which will cause immediate and substantial dilution to our existing shareholders.
Following any such reverse acquisition, it is estimated that existing shareholders will hold only 1% or less of the Company’s outstanding shares, with the remaining 99% held by shareholders of the acquired company.
In connection with any such transaction, it is likely the Company may effect a reverse split of its common stock, increase its shares of authorized common stock, authorize and issue one or more classes of preferred stock. Additionally, it is expected that in connection with such a transaction, Mr. Lettau will resign as our sole officer and director and new officers and directors would be appointed or elected."
Don't Drink It, just Sip It....then move on to the next play
Don't Drink It, just Sip It....then move on to the next play
