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OTC_Guru

07/10/09 2:24 PM

#1344 RE: mrs trader #1341

Whoever "told" you this obviously has no understanding of the mechanics of a reverse merger.

"In a reverse merger, the original public company (MIRA), commonly known as a "shell company," has value because of its publicly traded status. The shell company is generally recapitalized and issues shares to acquire the private company, giving shareholders and management of the private company (Sam Abecassis) majority control of the newly formed public company."

Source: http://invest-faq.com/articles/stock-reverse-merger.html