InvestorsHub Logo
Followers 0
Posts 521
Boards Moderated 0
Alias Born 12/01/2009

Re: primetime678 post# 4025

Tuesday, 05/10/2011 11:07:03 PM

Tuesday, May 10, 2011 11:07:03 PM

Post# of 9113
Ill try to explain it to you. CGSYQ is worthless. They do nothing now. That complany is gone. What we have left is more less an empty shell of a compnay with a decent share structure. What many of us feel is going to happen is Pivotal, the company that bought all of CGSYQ's value during the bankruptcy is going to move themselves, a portion of themselves, a client of theirs, or another private company into the empty shell of CGSYQ using the current share structure, and this will then allow the previously private company to be traded publicly in the stock market. The process of taking a private company public is usually very time consuming and expensive through an IPO, but relativly quick and cheap moving into an empty shell. Then all of us who hold CGSYQ shares will be shareholders in the compnay that was moved into the empty shell, and the newly public compnay will have a much, much higher value then what the shares are currently trading at. The thing here is Pivotal, the compnay that purchased all of CGSYQ's assets, etc, could have done that without "buying" common shares of CGSYQ. So what some of us here feel is they "purchased" the common shares because they are expecting a high rate of return on them. If they cancel the shares, Pivotal will have "purchased" the commons for no reason, therefore wasting money.

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.