It doesn't make much sense, that's for sure. Certainly one would think its in their (CJGH's) best interest to support their stock price for just that.
"when they need some money i think that they will come out with a PR and let the run start and then dump shares in and start diluting. that is why they raised that A/S. my opinion only."
Yes but then at this time we will be able to sell and move out losing less money .
So this is what I will wait due that there will be no other choice .
If they want to dilute shares , they will need to post great news to have the PPS go higher .
And at the price we trade they will need to post more than one .
The fabulous should be china Jiangsu Golden change from name to Wuxi Steel Ball Ltd and become officialy Wuxi on the stock market .
Also this could explain wy they raised the A/S to 500M without selling shares on the market .
Raise to A/S to 500M without dilute shares is a non sense for a scam company . And they did not so I dont think we may call them scam .
This could also explain the 20M restricted shares like wuxi take over all the company over and left 20M restricted to the old ceo for exemple .
Also make a count if the A/S was still 100M and the O/S 36M + 20M restricted shares .
What do this mean ? Well that when the restricted shares will be sold on the open market + the OS some one could be able to take majority of the shares with 51M of the shares .
And this could also say majority of the shares from Wuxi .
So this make sense to have raise the A/S to 500M to prevent any take over .
Now the price is so low that I will keep my shares and I am not far to own 10% of the O/S with my last rebuy yesterday .
If the company is realy wuxi Steel Ball then I am not afraid anymore to own shares of this mass production businesss .
I can afford to wait months if necessary no problem .