I already thought I was a bag holder as I'm sure most still in believed! Last real news out of Vietnam (Google translate) was crews were not paid, had no money for fuel, ships were rusting away, office was vacant, the Air cargo never flew, and officers were AWOL. They also had ventures in developing deep water port for bigger ships and seafood processing (no idea what happened to those). Then out of nowhere comes a 200 to 1 reverse split and now trickling of news from the Co. Frankly I still don't know what to think as I tried tracking ships but haven’t seen where they sailed since 2011.
As I recall, several of the ships were owned and a couple leased and had deposit on 5 ships to be built, but the recent new seem to indicate all are leased with 6 on order. What may have happened, or is happening, is they worked out a deal whereby they sold the ships and leased them to keep the business going. Shipping was only profitable element, their core, and other ventures were spreading the company too thin in my opinion – a recipe for disaster. So they may have wised up, reorganized and refocused on core business (shipping) ... which would be a good thing.
As for debt, it is only bad if you can’t pay the bills. And growth companies seldom have profits as all goes back into the company to spur the growth. To be sure, this would be a growth co, so would not be worried about profits if assets are growing. Problem is their book keeping is poor which is why they were delisted (or volunteered to be delisted officially).
Now I would need $5 after split to break even here, and since I’ve already called it a total loss, I’m a hold = no change. If I could get out without a loss short term, I probably would as there are risks, but as it is, think I'll have to play this out out till the end...
