Shell Companies - Stock Market Forum, Penny Stocks, FOREX, NASDAQ, AMEX, NYSE, Live Chat

KittyCat · #1 09-02-2009, 05:36 PM

Could someone please explain exactly what a shell company is, and how they work?

Thanks in advance.

Weirdharold · #2 09-03-2009, 12:50 PM

a shell company is one which is kinda prepared to do a reverse merge with.... basically just an empty shell left from some company. Used to be a very popular way for a company to get itself into the market, but with the recent rule changes it is not nearly as cost efficient any longer.

Hope that helps

KittyCat · #3 09-03-2009, 02:14 PM

That helps a lot, thanks a bunch!

Anyone else? Please?

Thanks!

Weirdharold · #4 09-03-2009, 04:21 PM

hmmm have you looked at wikipedia SHELL CORPORATION Also take a glance at ALTERNATIVE PUBLIC OFFERING

KittyCat · #5 09-03-2009, 05:19 PM

Oh, thanks! Those articles should help me a lot. Thanks again!

PS Did you by any chance see my other question on this forum?

Weirdharold · #6 09-05-2009, 11:02 AM

Yes, I saw your question about dividends vs. distribution, but am afraid that is over my head.

KittyCat · #7 09-05-2009, 12:03 PM

Oh ok, thanks anyway! Maybe someone will get bored and reply!

Daniel Webb · #8 01-20-2010, 04:38 AM

Quote:

Originally Posted by KittyCat

Could someone please explain exactly what a shell company is, and how they work?

Thanks in advance.

Shell company is a non trading firm formed as a vehicle to raise funds before starting operations.It is a company that does not own anything or do any work as an independent company, but is used by its owners to carry out particular business or to control other companies

pennystockville · #9 05-03-2010, 02:07 AM

That's really awesome.. I hope I can see more of this..

fink · #10 06-26-2010, 04:37 PM

Quote:

Originally Posted by KittyCat

Oh ok, thanks anyway! Maybe someone will get bored and reply!

OZON and AFFL

thats my boredom post.

AFFL up 4400% due to one person buying some shares. Probably a limit buy at some price. .004 and just hangs out there in their account to pick up any shares that are bput on the block. I've owned this one for some time as dividend spin off shares and were restricted for tgrading. I assume the Restriction has been lifted and its maturity date to trade is cleared.
You can set a buy limit at what ever price you want and your broker will get you filled when ever shares become available. You might be spending $7 per trade and only score a few 1000 shares, but the order stays open till the 1month expiration of your order or you run out of money, or you get the number of shares.
Yo accumulate shares and just sit on em till someone wants the clean shell to part their company in and becomes something. These are great plays if you can find one being accumulated for a purpose. Once the accumulator buys over 51% they have the power to do what they want. Low floaters are the best targets and they have to be bought up slowly or the red flags alert and everyone and their brothers want in and screw up the accumulation.
OZON was a fun one Hyped it up a few 1000 % and had the volume to ride it up. I jumped out at the top 1000 bagger on a few $100 invested. But jumped back in on the dip and lost 90% in about 15 vseconds after the CEO dropped news on the stock's activity. Great read if you pull up the chart and then read the 2 PRs put out by the CEO. Great lesson how these work and set up.

40MM o/s and if it would just tank down .0001, You could own this with a meer $2000.01 and vote youself God! LOL! bReally you could part any private company into OZON at that tikme. Your local tile company or auton repair shop. Anything and hype the hell out of it. You would have to file paper work and kill all the fun.

Like you said bored posting today!