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Re: DesertRat1 post# 93

Saturday, 03/13/2010 5:42:08 PM

Saturday, March 13, 2010 5:42:08 PM

Post# of 696
DesertRat1...Belmont.....

"Other than this stock do you have any knowledge or opinon on Belmont and their track record?"

I've never owned a shell that was sold to Belmont, and don't really have much of a knowledge base on how the pre-merger retail shareholders on Belmont shells have generally fared.

Belmont is somewhat well-known to China stock investors for having brought public over the last few years a number of pretty high-quality China companies that have made the jump to the major exchanges. But because of the volume of shell/RM business it does, Belmont also has its share of what I would consider "lower-quality" types of merger companies.

It does appear that once Belmont acquires majority ownership of a shell, there doesn't seem to be a set pattern as to how any subsequent RM will be structured or if Belmont will even have any significant influence/interest in the new deal. Sometimes Belmont just sells the shell to a person/company and doesn't appear to have any additional input with what happens next. Sometimes it retains a small ownership percentage of the new RM company and/or enters into some type of consulting deal. Sometimes there are reverse splits, sometimes forward splits.

Whether I make some decent money on this shell or eventually walk away disappointed largely comes down to the quality/structure (and sometimes market promotion) of any deal that CCKH enters into, regardless of the identity or track record of the consulting firm.




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