Trying 4(1) Opinions Where Rule 144 is Unavailable…A Year Later

Just about a year ago, following a great deal of frustration in the reverse merger community over the passing by the SEC of the “evergreen requirement” that prohibits a shareholder of a former shell from selling their shares publicly without registration under Rule 144 unless the issuer has been current in their SEC filings for the ...

Check out our Sister Blog at www.crisispost.com!

For a number of months now your humble blogger has offered commentary outside of the reverse merger world at www.crisispost.com, which I started back in March; I hope you will take a look! Crisis Post seeks to be your key resource for information and commentary about the economy, Wall Street, the President and his policies, Bernie ...

Tip of the Week: Financing in this Environment

Many are noticing that, while reverse mergers continue in this difficult economic environment (and yes there are about 30% less deals than last year), a much higher percentage of reverse mergers are being completed without a contemporaneous financing. In some cases the hope is to do it after being public awhile, in some lucky cases ...

Second Quarter Not Great, But Experts Hopeful

The Reverse Merger Report, in its July issue, noted that the number of reverse mergers continued to slide in the second quarter of 2009, with just 37 deals getting completed. This is a reduction of 12% from the first quarter and 30% from the second quarter of last year. Interestingly, in the quarter the IPO ...

The Dog Days.. 1

As July rapidly draws to a close we will soon enter what are often referred to as the “dog days” of summer in August. Traditionally, it’s vacation time, Europe basically shuts down, etc. Different in places like China, where more people take time off around New Year’s in January and February. But this year is ...

Get Ready for the New Edition of the Book

Everything is a go for the 2nd edition of Reverse Mergers, the book I originally wrote in 2006, which was published by Bloomberg Press and which was translated into Chinese about a year later (and which inspired this blog which started in late 2006). I have just about finalized the edits and the plan is ...

Form 10s Still Popular

Despite an article in the recent Reverse Merger Report suggesting there may be no value to Form 10 shells other than to crooks, legitimate players continue to create them for transactions that they develop. Like all things the pace of creating new shells was slowed meaningfully in the last quarter of 2008 and first quarter ...

Tip of the Week: The Claim Left Behind

At times in a reverse merger the shell being examined (assuming it is a “legacy” shell with a history of operations) has what appears to be an asset, in the form of a claim or lawsuit against a third party. With diligence you may even be able to determine that the claim is real, legitimate and ...

More China Stuff

Reprinted from our sister blog at www.crisispost.com. As I am leaving China to return home to celebrate July 4th with my family, I thought I would share some interesting tidbits from just today’s China Daily, which gives good insight into what issues are important to Chinese business and society. 1. The government has worked to ...