Replies to post #2108 on Grifco Inc (GFCI)

[best2listen]

Dr Bill, CTBG will have ~85 million shares outstanding

and, depending on the information in the CTBG filing, the company will be valued accordingly.

What's so hard about this? Grifco announced last year that they held 75 million CTBG in an account that is earmarked for distribution to shareholders. Now the approximate share numbers for both can be calculated.

"Grifco shareholders will receive 1.89 shares of CTT for every one share held in Grifco as of the record date, up to 75 million shares. Upon completion of the spin-off dividend, CTT will have approximately 85 million shares issued and outstanding."

75 million CTBG shares to be distributed ÷ 1.89 CTBG/GFCI = ~40 million shares GFCI outstanding.

Either the CTBG share price moves down, the GFCI share price moves up, or both together before the spinoff.

best2

[cleverrox]

Your logic is flawed. It has been publically known since the inception of the spin-off that there would be 85M shares outstanding post spin-off. The market has priced it in. Seriously, all that is needed to justify a valuation of $0.20 for CTBG is earnings of $0.01. For that they need a simple $850K and rounding up anything over $425K will do. That isn't asking a whole lot. It should be fairly easy for CTBG to hit that kind of lowball market expectation.

Let us say I started a company today and issued 10M free trading shares but stated in one month I would issue 75M more. The day after the 75M are issued do you really think a single share of the 10M I originally issued is somehow worth more than a single share of the additional 75M?

It amazes me that you have ever made any money in the stock market if indeed that is true.