Salamon Group, Inc. (fka SLMU)

[Andrew John]

IPWG
Insider buying on the face is NOT a negative, however, every situation is different

For example:
1. If Insiders buy from friends and family because they made PROMISES to those friends and family and then management realizes that the stock is NOT going to go up, then management has no choice but to buy and make good on their promise, especially with friends and family.

In the case with SLMU management, SLMU lost a legal battle, this said, the 2 funds are going to take possession of the company or they will be issued UNLIMITED amounts of shares at a discount-to-market to the 2 funds, this said the 2 funds will SELL those shares into the market until they get back their $5+ million and that will result in SIGNIFICANT DILUTION. Maybe (just maybe) management doesnt want their friends and family to lsoe their initial investment, hence, buy back those shares.

2. Who are the OTHER CERTAIN INVESTORS
SLMU announced in their press release that OTHER CERTAIN INVESTORS bought. Why be so vague on this issue. When a company does not provide ALL the information, that is a red flag.
Was DSTI or their management the OTHER CERTAIN INVESTORS, and if so, why not release that information or did they undertake a private stock transaction.

3. What was the price of the acquisition of those 3+ million shares.
Did SLMU management and OTHER CERTAIN INVESTORS buy shares at a discount to market?

4. How were the shares paid for? Did SLMU management use personal funds or did they borrow from the company?

IPWG...I dont think its necessarily a negative when insiders buy, but there has to be full disclosure as related to the transaction(s) for it to make sense. More importantly, full disclosure and details allows for investors to consider everything and determine what their investment decisions should be.