larice, here is a post that I found on the Raging Bull message boards that will help you to see what made people sell their PAVP today. Basically, they didn't understand what they were reading. Sad and funny all at the same time. Mostly sad...........
By: shellemarie
09 Mar 2004, 06:50 PM EST
Msg. 20243 of 20305
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Explanation of PAVP sell-off at 2:30.
I was baffled by the sell-off today. The PR was Absolutely Positive and NO Reason to sell.
I was answering a post from someone who was confused on the wording, then I received a call from my husband with the exact same misunderstood concern about PAVP when it hit me... I am sure many investors MISUNDERSTOOD the wording of the PR at 2:22.
This one sentence " PAVP shareholders will receive .01 shares of the public shell's common stock for each share of PAVP common stock owned." AND, there was a question on what REVERSE MERGER meant. I am sure a Great Many Investors believed a REVERSE SPLIT WAS GOING ON.
This was NOT THE CASE!
If you look at the chart, there was an obvious DUMP right after 2:22.
At 4:08, (notice, AFTER MARKET CLOSE)this was released:
CLARIFICATION PRESS RELEASE:
HOUSTON, March 9 /PRNewswire-FirstCall/ -- To address investor concerns regarding today's press release, ProActive Computer Services (PAVP: Pink Sheets) issues the following statements. As a result of the acquisition, PAVP's capital structure remains the same. There is no change to PAVP shareholders' holdings. The acquired fingerprint technology company Digitalus Technology Inc. will be merged into a public shell owned by PAVP. All shareholders of record as of the close of business on April 9, 2004 will receive 10 shares of the new company for every 1000 shares of PAVP owned. The name of the public shell and the trading symbol will be released by the end of the week.
Which means, PAVP is very very OVERSOLD! Previous investors as well as others will figure it out and buy tomorrow.
I AM BUYING MORE AT MARKET OPEN TOMORROW.
DAMN, I wish I would have bought at the dip today!!!!
Shelley
By: shellemarie
09 Mar 2004, 07:33 PM EST
Msg. 20306 of 20322
(This msg. is a reply to 20288 by milliondollarmnok.)
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Milliondallarmnok, ROCK ON, I agree 144% to what you stated!!!
you had countless people that could not even compute the number of shares they would receive from the R/M. You had even more that thought it was an R/S. Add to that the people that sell on the news and the swingers and you have EXACTLY what you saw today. Its a redistribution of wealth from those without the sufficient knowledge to be trading to those that do. It is unbelievably sad to me. The company should not be blamed, the PR was VERY clear IMO. you didn't even need to read it twice.
