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Re: MWM post# 3270

Sunday, 04/13/2008 8:46:16 PM

Sunday, April 13, 2008 8:46:16 PM

Post# of 3365
Tracking SIVC Reverse Merger deal flow and pipeline.

The PR I really want to see come out will give me the name of next reverse merger client they just signed.

From 4/3 PR: Mr. Bickel arrived in China on March 6, 2008 and spent over two weeks traveling in China to attend meetings with management of S3's subsidiary operations and Redwood Capital's reverse merger clients.
As a result of the trip and subsequent meetings, S3 expects to announce a new Redwood Capital client in the next several days.

Here's why I really want to see this PR. Deal flow builing a pipeline to close one deal every quarter.

ENHD deal closed in January 2008(1st quarter)

Changzhou HaiJai Metallurgical(Looking for deal to close in 2nd quarter 2008)

Wuhan International Trade College(Looking for this deal to close in 3rd quarter of 2008)

Perfect timing now to sign another new client from China. This deal should close in fourth quarter of 2008.


This would insure four deals for 2008. Four closed mergers, four stock dividends to us. Tons of assets and cash going on to SIVC balance sheet. Throw in new Kensington Cross client that was just announced hopefully this will be our first quarter of 2009 deal.




Closed deals ENHD and Fushi.
Completed:
Energroup HldgsCorp. (Chuming)( 12/31/2007) has completed its reverse merger and is currently trading in the U.S. public markets under the symbol ENHD. Chuming investor presentation link:
http://www.sec.gov/Archives/edgar/data/766659/000114420408011578/v104808_ex99-1.htm

Fushi Copperweld, Inc., (6/6/2005) has completed its reverse merger and is currently trading in the U.S. public markets under the symbol FSIN. Fushi's home page link:
http://www.fushiinternational.com/AboutUs.aspx?p=Overview


Next deals to close should be

Changzhou HaiJai Metallurgical announced 5/15/2007.
http://www.s3investments.com/upload/SIVC_PR_05_15_07_3rdNewRedwoodClient.pdf

Wuhan International Trade College announced 1/31/2008.
http://www.s3investments.com/upload/SIVC_PR_1_31_08_Wuhan.pdf



SIVC DD Step by Step for SIVC it all comes together one piece at a time.

SIVC closed reverse merger deal ENHD what a monster, just filed their 10k and announced earnings of .67 per share.$$$$ 30 times earnings would put ENHD share price at $20.10. ENHD has 589 employees, 120 million in sales, earned over 11 million dollars.


That 30 times earnings valuation would make SIVC's ENHD shares worth over 10 million dollars...This is only one deal, imagine three deals per year of this quality. Imagine getting a dividend of some shares in three-four of these deals per year every year just because you own SIVC shares. SIVC trading under a penny is just plain wrong.


February 14, 2008 - 10:00 AM EST

S3 Investment Company Announces Redwood Capital Subsidiary's Receipt of Equity Payment From Participation in Dalian Chuming Acquisition Transaction
S3 Investment Company, Inc. (PINKSHEETS: SIVC), today announced that its Redwood Capital subsidiary has received the equity portion of its payment for providing advisory services for the recently closed acquisition transaction involving Dalian Chuming, a pork processing company based in China.

Redwood Capital has been issued 428,095 shares of Energroup Holdings Corporation,(ENHD) a publicly traded Nevada corporation that acquired all of the issued and outstanding capital stock of Precious Sheen Investments Limited, a British Virgin Islands corporation ("PSI") and parent company of Dalian Chuming. Energroup Holdings Corporation is traded under the symbol ENHD.


From ENHD filing:

Employees:We currently have approximately 589 employees...

We have acquired the land use certificate for 89 acres of land in Dalian City, which entitles us to use and dispose of the land and the commercial or residential buildings located on the land. Our Food Co. occupies this piece of land.

We have also opened offices in eleven cities outside of Dalian.

Our main facility and principal executive offices are located at No. 9, Xin Yi Street, Ganjingzi District, Dalian City, Liaoning Province, PRC 116039, which also serves as the headquarters for our food subsidiary and sales subsidiary. Our main facility is located on 89 acres in the industrial area of Dalian, where we have developed over 74,000 sq. meters of factory floor.

Sales $124,696,000
Gross Profit $20,317,000
Comprehensive Income $13,716,000
Basic Net Income Per Share (in US$)0.67


Gross Profit. Gross profit was $20,317,127 for the year ended December 31, 2007 as compared to $12,601,586 for the year ended December 31, 2006, representing an increase of $7,761,277, or approximately 61.1%. Management attributes the increase in gross profit to strong increases in sales, driven by strong demand for our products.

Net Income. Our net income for the year ended December 31, 2007 was $11,652,147 as compared to $8,128,369 for the year ended December 31, 2006, an increase of $3,523,778 or 43.9%.


Todays 10k filing

http://www.sec.gov/Archives/edgar/data/766659/000114420408019370/v108910_10k.htm

ENHD qualifies to uplist to Nasdaq as soon as their S1 is declared effective. They have 179 shareholders of record they need 400, as soon as they have more shares in float this should be easy to do. They meet every other requirement. They don't just meet the requirements they are way over most of them. What a monster company SIVC brought public.

Imagine owning SIVC a pink sheet company and getting a dividend of shares in a NASDAQ stock-ENHD. SIVC will make pink sheet history when this happens in a few months imho.

NASDAQ requirements, ENHD qualifications in bold.

1)Each company must have a minimum of 1.1 million publicly-traded shares upon listing, excluding those held by officers, directors or any beneficial owners of more then 10% of the company.

On December 31, 2007, we had 21,136,391 shares of our common stock issued and outstanding.(6 million shares held by non-affiliates approx.)

2)The minimum bid price of the stock upon listing must be at least $5.

As of March 5, 2008, based on a split-adjusted closing price of $5.00 per share of common stock as reported on the Over-the-Counter Bulletin Board on such date.

3)Companies must also have at least 400 shareholders. A shareholder is defined by Nasdaq as a holder of over 100 shares.

Our common stock is currently quoted on the OTC Bulletin Board under the symbol “ENHD.” As of December 31, 2007, there were approximately 179 shareholders of record of our common stock. The number of registered shareholders excludes any estimate by us of the number of beneficial owners of common shares held in street name

Requirement Rule 4420 (a)
1)The company must have a minimum shareholder equity of $15 million.

Stockholders Equity $48,938,000


2)The operating income from either the last fiscal year, or two of the last three years, must total a minimum of $1 million.

Operating income 2007 Income from Operations $14,071,000

3)The company must have a minimum of three market makers that will provide liquidity to the trading of their stock.

Current ENHD market makers... NITE, HILL, ETRD, ROTH, HDSN, DOMS

4)The market value of the publicly-held shares upon trading must be worth at least $8 million.

the aggregate market value of the voting stock held by non-affiliates of the Registrant was approximately $32.3 million

Chuming/ENHD has a deal with Walmart , eom

http://investorshub.advfn.com/boards/read_msg.asp?message_id=28190134


Next merger to close should be this one, another great company imho.

SIVC does Deals that make sense.

...Changzhou Haijie Metallurgical Machinery Manufacturing Co.'s fabrication, machinery and assembly products are already distributed internationally to a select few significant foreign companies, and with its planned entry into the U.S. capital markets, the company is expected to expand distribution to additional worldwide markets. The company is also expanding internally with additional property and a new 200-ton heavy-duty steel structure workshop due to open later this month.

Deals that big money boys are willing to fund. Funding locked in already for this SIVC merger deal.

S3 Investment Company Announces Redwood Capital Client Agreement: Hunter Wise Financial Group, LLC to Provide Investment Banking Services for Reverse Merger Transaction
S3 Investment Company, Inc. (PINKSHEETS: SIVC), a holding company with two subsidiaries doing business in the China market, today announced that Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd. ("Haijie"), a reverse merger client of S3's Redwood Capital, Inc. subsidiary, has selected Hunter Wise Financial Group, LLC of Irvine, California to act as the exclusive investment banking firm for its reverse merger into the U.S. public markets.

S3 and Redwood Capital recently announced that the 2007 fiscal year revenues (audited) for Haijie exceeded $21.7 million.

Hunter Wise Financial Group, LLC and its wholly owned Broker/Dealer, Hunter Wise Securities, LLC, a FINRA and SIPC member firm, provide investment banking services including institutional finance, financial advisory services, international transactions, and mergers, acquisitions and divestitures. Changzhou Haijie Metallurgical Machinery Manufacturing Co. has engaged Hunter Wise Financial Group to act as its exclusive financial advisor, and Hunter Wise Securities to act as the exclusive placement agent in connection with its pursuit of a U.S. public listing.

"Hunter Wise has proven to be a highly effective investment banking partner for Redwood Capital's reverse merger clients, and we are pleased that they have been retained to handle the investment banking services for Changzhou Haijie Metallurgical Machinery Manufacturing Co.," said S3 Chairman and Chief Executive Officer Jim Bickel.

Redwood Capital, which provides an array of services to private Chinese companies and utilizes its extensive network of investment banking relationships to facilitate the client's listing on a U.S. public market through a reverse merger process, is currently assisting with Haijie's entrance into the U.S. markets.

One of the most time consuming parts of closing these Chinese reverse mergers is completing the audited financials. They can't do a PIPE financing or merge these Chinese Companies into fully reporting shells without audited financials.

S3 Investment Company, Inc has announced that the 2007 fiscal year revenues (audited) for Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd.(Haijie), a reverse merger client of S3’s Redwood Capital, Inc. subsidiary, exceeded $21.7 million. An audit of the company’s financials is an important milestone in the planned reverse merger of Haijie into a U.S. public company. The 2007 audited revenue numbers are reflective of a March 31, 2007 fiscal year end for Changzhou Haijie Metallurgical Machinery Manufacturing Co.

“We believe that there will be significant interest in this company, and Redwood Capital is looking forward to completing the additional steps necessary to consummate the reverse merger transaction.

_____________________________________________________________


S3 Investment Company Announces $21.7 Million in 2007 Revenues for Redwood Capital Client Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd.
S3 Investment Company, Inc. (PINKSHEETS: SIVC), a holding company with two subsidiaries doing business in the China market, today announced that the 2007 fiscal year revenues (audited) for Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd. (CMMC), a reverse merger client of S3's Redwood Capital, Inc. subsidiary, exceeded $21.7 million.

An audit of the company's financials is an important milestone in the planned reverse merger of Changzhou Haijie Metallurgical Machinery Manufacturing Co. into a U.S. public company. The 2007 audited revenue numbers are reflective of a March 31, 2007 fiscal year end for Changzhou Haijie Metallurgical Machinery Manufacturing Co.


"The audited 2007 revenue numbers of Changzhou Haijie Metallurgical Machinery Manufacturing Co. clearly validates Redwood's belief that this is an excellent candidate for reverse merger into the U.S. public markets," stated S3 chairman and chief executive officer Jim Bickel. "We believe that there will be significant interest in this company, and Redwood Capital is looking forward to completing the additional steps necessary to consummate the reverse merger transaction. The projected equity value to Redwood Capital from each completed reverse merger transaction also impacts S3's bottom line and the expected long-term value for S3 shareholders."

Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd. is located in the Xinbei District of the Changzhou High and New Technology Industrial Development Zone, which lines the southern bank of the Yangtze River in the northern part of the city. Changzhou, which is among the top 50 Chinese cities in terms of its comprehensive economic strength, has been characterized as an investment magnet due to its rich history, pleasant living environment, daily conveniences, respect for diverse customs, perennially congenial climate, solid industrial foundation, industrial diversity, good legal environment and government efficiency, and geographical advantages and low logistics costs.

Historically, Changzhou Haijie Metallurgical Machinery Manufacturing Co. was a sub-plant of Baosteel Group, one of the most profitable steel enterprises in the world, with an annual production capacity of about 20 million tons. The main products of Changzhou Haijie Metallurgical Machinery Manufacturing Co. include complete sets of metallurgical equipment and spare parts, electrical power equipment (including wind-driven generator boxes and large scale transformers), automotive parts, mechanical engineering parts, and large gearboxes.

Changzhou Haijie Metallurgical Machinery Manufacturing Co.'s fabrication, machinery and assembly products are already distributed internationally to a select few significant foreign companies, and with its planned entry into the U.S. capital markets, the company is expected to expand distribution to additional worldwide markets. The company is also expanding internally with additional property and a new 200-ton heavy-duty steel structure workshop due to open later this month.


Wuhan College Reverse merger part 1: Throw in organic growth to these numbers along with growth by aquisition and Wuhan could be another baby NASDAQ stock in the making.

Anyone with some free time might want to translate some of these webpages. Wuhan Internatinal Trade College website new SIVC reverse merger client.

I took a quick peek, it says 13,000 students currently enrolled.
800 teachers, nice looking campus. 13,000 students even if they pay $2000 each for school that's 26 million in revenue.

http://www.whicu.com

January 31, 2008 - 10:10 AM EST
S3 Investment Company Announces Wuhan International Trade College as New Reverse Merger Client for Redwood Capital Subsidiary
S3 Investment Company, Inc. (PINKSHEETS: SIVC)... signed Wuhan International Trade College, the second largest vocational education school in Hubei Province, as its newest client. Redwood Capital is in the business of assisting private Chinese companies to access the U.S. capital markets through reverse mergers into U.S. public companies.

Wuhan International Trade College http://www.whicu.com a for-profit institution that has cooperative ties to universities in North America and Europe, has developed an aggressive growth strategy, which is expected to include the construction of new buildings to accommodate a rapidly growing enrollment and the acquisition of another existing private college.

The demand for higher education in China is rapidly increasing with the growth of the middle class and the need for educated workers to fill positions in the expanding Chinese economy. However, according to a 2005 report from the American Council on Education, the higher education system does not meet the needs of 85% of China's college-aged population.

"We are pleased to announce Wuhan International Trade College as the new client for our Redwood Capital subsidiary, and we look forward to working toward its entrance into the U.S. public markets," said S3 chairman and chief executive officer Jim Bickel. "S3 has set a goal for Redwood Capital to reach 4 completed reverse merger transaction per year, and we believe that it is currently positioned to achieve a minimum of 3 in 2008.

Wuhan connect the dots here maybe...

S3 Investment Company, Inc. (PINKSHEETS: SIVC)... signed Wuhan International Trade College, the second largest vocational education school in Hubei Province, as its newest client.

Then figure out the largest vocational education school in Hubei Province since Wuhan is number two.

Then this...Wuhan's aggressive growth strategy, which is expected to include the construction of new buildings to accommodate a rapidly growing enrollment and the acquisition of another existing private college.

Wuhan could have plans to buy out number one school and corner the local market for Trade schools. Huge potential...

When SIVC's reverse merger deals close the Chinese companies are fully funded by Hunter Wise, Kensington Cross, Roth Capital, Barry Kitt etc.....PIPE financing at the time of the reverse merger is how SIVC does it....this money gives SIVC's China clients a competitive edge over their local competition who don't have American Venture Capital backing them.





Posted by: The Rainmaker
In reply to: Skidos who wrote msg# 7408
Date:4/8/2008 2:37:23 PM
Post #of 7640

The important thing about Fushi deal is that was the prototype. From that first deal SIVC was able to develop a niche in the China Reverse merger market. Now with Hunter Wise, Kensington Cross, Roth Capital, Barry Kitts and China Pinnacle in SIVC's corner the big boys are jumping on SIVC's current and future deals.

SIVC DD:Fushi Int'l SIVC's first RM deal follow-up.

Just to give everyone a another example of the high quality of SIVC's reverse merger deals.

Roth Capital big money players in Newport Beach Ca. Roth funded 264 million dollars worth of China Deals. Here's where it get's really interesting for SIVC.

Roth Capital finds Niche: Stock Sales for Chinese Companies.....Financed 10 deals worth 264 million dollars in 2007.....

Now check this out...Out of the 264 million dollars in deals Roth funded for 2007, 39 million dollars/over 15% of all the money Roth raised in 2007 was for SIVC's reverse merger client Fushi Int'l.

In October, Roth Capital did three stock sales for Chinese companies: a $39 million deal for wire maker Fushi International Inc....

http://www.rothcp.com/files/ocbj120307.pdf

Here's what Fushi did with the money Roth raised for them...Fushi #1 manufacturer in China buys out number one manufacturer in US.

Fushi International, Inc., which is the leading Chinese manufacturer of bimetallic wire, purchased Copperweld Bimetallics, LLC., the leading North American manufacturing of bimetallic wire located in Fayetteville, Tenn., on October 29, 2007.

Company Profile: Copperweld Bimetallics Llc
Parent Company: Fushi International (Dalian) Bimetallic Cable Co
Est. Annual Sales:$19,000,000
Est. Employees:150
Data above provided by D&B.

Recent News
Jan 18, 2008

Fushi International Changes Name to Fushi Copperweld

DALIAN, China, January, 18, 2008 -- Fushi International, Inc. , the leading global manufacturer of bimetallic wire used in a variety of telecommunication, power transmission and other electrical products, today announced that the Company’s Board of Director’s approved a name change to Fushi Copperweld, Inc.

Fushi International, Inc., which is the leading Chinese manufacturer of bimetallic wire, purchased Copperweld Bimetallics, LLC., the leading North American manufacturing of bimetallic wire located in Fayetteville, Tenn., on October 29, 2007. Changing the name to Fushi Copperweld more appropriately reflects the Company’s diverse and branded product line.



Posted by: The Rainmaker
In reply to: The Rainmaker who wrote msg# 7341
Date:4/4/2008 2:42:21 PM
Post #of 7520

Update for board

I called IR and asked him if Kensington Cross was replacing Hunter Wise as SIVC's Hedge Fund of Choice. He said definitely not, Kensington Cross deals etc. were in addition to Hunter Wise not instead of.

SIVC-S3 Investment Company Announces First Targeted Transaction Under Redwood Capital Agreement With Kensington Cross

Apr 9, 2008 09:34:02 (ET)

DANVILLE, CA, Apr 09, 2008 (MARKET WIRE via COMTEX) -- S3 Investment Company, Inc. (PINKSHEETS: SIVC), a holding company with two subsidiaries doing business in the China market, today announced that under the agreement between S3 subsidiary Redwood Capital, Inc. and Kensington Cross, Ltd., a boutique U.S. investment banking firm, to fund private equity transactions ranging from $20 million to $100 million (US), an initial deal has been identified.

The targeted private Chinese company is an industrial warehousing operation seeking to expand its reach both within China and internationally.

We are still getting another PR with name of new SIVC/Hunter Wise reverse merger client.

Todays news was great because know we found out we will also be getting another slew of deals from Kensington Cross on top of Hunter Wise deals.

strongly believe that several of SIVC reverse merger deals will ultimately end up trading on NASDAQ. When in the history of the pinksheets has anyone ever gotten share dividends of NASDAQ companies because they owned a pinkie.

SIVC belongs on a much higher exchange and should be trading at much higher prices. Luckily cream ultimately rises to the top and SIVC looks like the cream of the crop to me.

Thanks, they always say follow the big money players if you want to find the big money deals. SIVC's fingerprints keep showing up in the big money boys deals.

What type of Company does your company keep. In SIVC's case it appears they are surrounding themselves with all the right big time major league players in the China Reverse merger arena.

Equally impressive is the fact these big money players like Roth and Hunter Wise keep funding SIVC's deals. Great sign of more big things to come.

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