ASYTQ is now a ready-to-move-into "shell", for Crossing !
Now that the U.S Trustee has gotten ASYTQ (in order), by cleaning its financial house, Crossing Automation can now take the initiative and declare that it will R/M with ASYTQ.
Valuing a Shell Stock
There are several considerations to review when valuing a Shell Stock:
1. Clean: it has little or no debt, no pending law suites, We don't want anything that can complicate the reverse merger.
2. Small Number Of Outstanding Shares: the smaller the number of outstanding shares, the better.
3. Low Market Value: basically, this is the buy low sell high rule. A Shell Stock with a low Market Value will have a greater chance of price appreciation than one with a high Market Value. (Market Value = price X shares outstanding).
4. Cash On Hand: some Shell Companies have cash remaining from their previous business endeavors.
INDICATORS OF A POSIBLE REVERSE MERGER
Increased Volume/Price: increased volume and price with no news may be an indicator of a potential reverse merger. Information on a reverse merger sometimes leaks out and insiders/family/friends start buying before the reverse merger is announced.
Corporate Activity: cleaning up debts, can indicate management is getting the shell company ready for a reverse merger.
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