Just because I'm bored...
"China Jiangsu Golden Horse Steel Announces Common Share Reduction
Tuesday February 12, 8:30 am ET
XUYI, JIANGSU, CHINA--(MARKET WIRE)--Feb 12, 2008 -- China Jiangsu Golden Horse Steel Ball, Inc. (Other OTC:CJGH.PK - News) (Frankfurt:4J3.F - News) ("Golden Horse" or "the Company"), a leading Chinese manufacturer and supplier of ball bearings, announced today a capital restructure of its common stock. As of 11 February 2008, twenty (20) million common shares have been retired to treasury, leaving the total shares outstanding at 27,510,217."
Sooo looking at the Press Release, it appears that as of Feb 12 they ahd 27 million outstanding. But in reality the 20 million in the treasury is technically part of the O/S, so you can say that the O/S is really 47 million. However i doubt that all 47 million are in the float...
Now my analysis of the decrease in share price is most likely the company selling shares from the treasury to raise capital, so they aren't diluting the stock, they are just adding stock to the float IF my theory is correct. If you look at their financials posted on their website, fixed assets and inventory have increased greatly and I expect another increase in their first Q financials of assets.
But now that the stock is basing at this price and watching the intraday action of this stock it appears that it'll want to move back up and I am expecting a rise in PPS going into next wednesday when the financials are released.
But either way the current market cap based on the 47 million shares is 3.76 million... most BS companies out there that dont even own $1 of inventory have a higher market cap... such an undervalued stock here...
Pred
