Replies to post #5826 on NewMarket Technology (fka NWMT)

[hiphopfurby]

Maybe those 20mil shares that are currently out there was part of the price NMKT had to pay in order to buy this company.

look at is this way what if there were no outstanding shares but nmkt had to pay 2.5mil instead of 250k.

i would rather take the 20mil share increase than have NMKT pay with cash.

When I first heard they were going to reverse merge I thought exactly as you did.

I thought one of the first things NMKT would do with the new shell would include a reverse split on the existing shares.

For some reason NMKT cannot or will not do this.

There has to be some benefit to NOT R/S the new shell.

Still we have no idea how this will work. There are a lot of things that still have to happen before this thing officially becomes NMKT China.

Maybe the IICPQ share count will go down. I just think it will go up from here though.

[debugframe9]

Hey they got 2million shares worth 200k at the time. So they got all the perffered shares for 50k dollars. In essense they got a shell an control of there own sub for 50k.

[my02cents]

IICP O/S Means a lot to me, too

First, NMKT China has already paid for IICP in cash. IMO, the current O/S in IICP should either be reversed split down to near nothing or retired all together.

Adding 2M shares to 23M shares does not mean a whole lot for a company trading at $0.11 WITH NO BUSINESS.

But NewMarket China is dumping $20M in revenues in to IICP. 23M shareholders just bought $20M revenues for $250,000! With $20M revenues, IICP's PPS should rise dramatically.

Let's say IICP's PPS rises to $2.00/share. With an o/s of 25M, that equates to a market cap of $50,000,000.

At $2.00/shares for IICP, that is great news for NMKT, the company.

But $2.00/share means NOTHING TO YOU OR ME. We don't own any shares yet, remember?

Later, the NMKT shareholders of record receive their shares of NewMarket China.

Now our shares are worth $2.00/share, right? WRONG!

With the new influx of o/s, and given the somewhat fixed market cap assignment of $50m, the PPS of NewMarket China plumets.

The winners? Existing, old IICP shareholders. Who, if they have half a brain, will have sold their IICP shares around the time that they reached $2.00/share.

To repeat, 23M shareholders just bought $20m revenues for $250,000. That would be typical PV: Grossly overpay for acquisitions and basically give away the subsidiary in the spin-off. A real wheeler-dealer.