posted
Strong Reverse Merger and SPAC Activity in First Quarter Wednesday May 10, 8:00 am ET The Reverse Merger Report Finds 'APOs' Outpace Traditional IPOs, and Record Levels of Merger Announcements Among SPACs
SAN FRANCISCO--(BUSINESS WIRE)--May 10, 2006--Reverse mergers between private companies and publicly traded shells outnumbered traditional IPOs in the first quarter, with 46 reverse mergers compared to 44 IPOs, according to The Reverse Merger Report, a DealFlow Media publication. The alternative public offering (APO) market's first quarter activity brought companies public totaling $1.31 billion in aggregate market cap. While reverse mergers outpaced traditional IPOs during the quarter, reverse merger activity and deal value dipped compared to the previous quarter, which closed 54 mergers worth about $3.22 billion.
ADVERTISEMENT Nearly 35% of reverse mergers in the first quarter also included a concurrent private placement financing to fund the merger and provide working capital after the merger's completion. Deals featuring a contemporaneous PIPE investment included Zhongpin (ZHNP.OB), which issued $27.6 million in convertible preferred stock and warrants, and Zeolite Exploration Co. (ZXPL.OB) which issued $15 million in common stock.
More than 20% of deals involved a foreign-based private company seeking a U.S. listing, with Chinese companies accounting for 60% of foreign deals. Health care and consumer product and service companies accounted for many of the reverse mergers during the first quarter.
"Quarterly shell merger activity remains at the high end of the range experienced over the past two years," said Brett Goetschius, publisher of The Reverse Merger Report. "The decrease in deals over the fourth quarter merely reflects the seasonality of the market and a one-time surge in closings resulting from a change in SEC reporting requirements that went into effect in November, which encouraged many companies to rush deals to market prior to the effective date."
Specified purpose acquisition companies (SPACs) once again represented one of the most active areas of the IPO market, accounting for 22% of all IPOs during the first quarter. Ten SPACs finalized initial public offerings in the quarter, raising $900 million. The number of SPACs completing IPOs increased 25% compared to the previous quarter.
There were six new initial offering registration filings made by SPACs during the quarter, a slight decrease from the previous quarter's seven filings. If all six of the new SPACs reach market, they will have raised $469 million. All six of the SPACs included a private placement by management or institutional investors funded concurrent with the public offering. At the close of the quarter, there were more than 35 SPACs still in registration. It took an average of nearly six months from the time a SPAC filed to go public to the time of its IPO - 70% longer than the previous quarter's average.
A record five SPACs announced merger deals with private companies in the first quarter, a 25% increase over last quarter and only 27% fewer deals than in all of 2005. Three foreign-focused SPACs announced deals, as well as Services Acquisition Corp. International (SVI), which plans to acquire the Jamba Juice smoothie chain, and Platinum Energy Resources (PGRI.OB), which aims to merge with a subsidiary of Tandem Energy Holdings (TDYH.PK).
"First quarter SPAC IPO and merger activity reflects a sustained interest by hedge funds and private equity funds in employing blank check vehicles to bring public profitable companies valued at $50 million to $500 million," said Goetschius. "Additionally, venture capital investors have recently discovered SPACs as an alternative path to liquidity for venture-backed companies shut out of the traditional IPO market."
Posts: 167 | From: Dallas | Registered: May 2006
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quote:Originally posted by The Phat Man: so when will trading resume or get posted? do you know MU?
Your data is wrong phat. Trading has never stopped and wont. SRLT is a fine OTC shell up to date on all filings.
Almost all SRLT stock is owned by chinese nationals now and only a fraction of that is registered. Low float.
The new accounting team is in place AS I SAID IT WOULD BE.
Merger getting closer every date, by which time it will be too late to get in cheap.....
Posts: 167 | From: Dallas | Registered: May 2006
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posted
Motic/SRLT has the greatest products on the OTC ever
DM-BA300 SPECIFICATION
This microscope is described by end-users to be "a delight to use" as it incorporates the fundamentals of light microscopy and electronic imaging. With its ergonomic design and small footprint, it does not require much space and can easily be accommodated in a busy lab environment. The DM-BA300 combines Motic's own revolutionary Colour Corrected Infinity System and infinity-corrected EF-Plan Achromat objectives to deliver crisp, clear and flat field images to the Widefield eyepieces and a built-in high resolution camera chip. As with all BA-300 series microscopes, the digital version meets all user requirements with its impressive 6V30W Quartz Halogen Koehler illumination system. The high-resolution camera chip delivers high quality images to the computer screen for processing with our application software.
Posts: 167 | From: Dallas | Registered: May 2006
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posted
question from a new guy then... if they do make a move to the nasdaq and their symbol ends with a "Q" what does one do next? would my shares get transferred into their new symbol and/or status on the nasdaq? i think i read somewhere on these boards that it's risky trading 'Q' stocks because they disolve all their shares before moving to the nasdaq. (maybe i read it wrong) thanks again for your time,
-------------------- Cashing checks in two forms: Money and Reality
GLTA, The Phat Man Posts: 1236 | Registered: Apr 2006
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quote:Originally posted by The Phat Man: question from a new guy then... if they do make a move to the nasdaq and their symbol ends with a "Q" what does one do next? would my shares get transferred into their new symbol and/or status on the nasdaq? i think i read somewhere on these boards that it's risky trading 'Q' stocks because they disolve all their shares before moving to the nasdaq. (maybe i read it wrong) thanks again for your time,
SRLT is an OTC shell which means that it has no business operations.
Other names for "shell" are:
BDC (business development company) Blank Check
"Q" on the end always means bankrupt on nasdaq. SRLT can and will never go bankrupt bcs. it has no debts or operations.
I believe that SRLT may get onto NASDAQ in 2 years. This cannot happen fast bcs. they have to show consistent profits and a $10 pps.
When SRLT merges, it will
1) Change symbol 2) Change name 3) Update all filings 4) begin filing real financials
After that SRLT will be a real co. with profits, not a shell.
quote: [QB]i guess i'm curious too as to why a realty co. and a microscope/tech company would be interested in each other?[QB]
SRLT is NOT a realty co. That business was folded long ago. It is a "clean" shell.
Motic wants SRLT bcs. the owners want to sell their shares. Chinese nationals own most of the 67M shares. Motic owners would get a much lower price in China.
SRLT has new accountants.
SRLT has $1,000,000 in cash. Top that.
Posts: 167 | From: Dallas | Registered: May 2006
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1) Recently owned 81% by the best reverse merger firm that specializes in chinese mergers.
2) SRLT is now about 80% owned by some chinese investors. Dont you find that interesting?
3) SRLT has $1M in cash. Top that.
4) New accountants.
5) Xu, the new SRLT CEO, has been the CEO of Motic (www.motic.com) which is a huge chinese microscope firm. There is at least a 75% chance that SRLT will become Motic.
All you can do is buy SLRT as low as possible and wait.
posted
As an astronomer of 25 years with knowledge in optics, I can wager money and tell you that the Chinese are horrible in the optics department... Zeiss quality,,,probably not ever..
The Japanese own them in that area... And unless they ressurrect Carl and put him on board, the Chinese will continue to be at the very least, 4th rate...
My suggestion? *You* relax, and ease up on posts stating this is a done deal... It's good enough as is, without gilding the lily.
Your points:
1) no problem, there...I follow these, too
2) very interesting
3) $1m ???? pfffttt.... bfd interesting claim, not near enough dough to matter to Motic/Zeiss nexus
4) not necessarily good
5) Xu, as far I can find, was never listed as CEO; "general manager," yes... again, as far as I know? GM sometimes is a VP, but have not seen CEO called that.
quote:There is at least a 75% chance that SRLT will become Motic.
I don't buy this opinion, but at least you again recognize this is *not* fact. Please don't report it as fact, anymore...
for anyone following, am responding to:
quote:Relax
Nothing has changed.
SRLT Facts:
1) Recently owned 81% by the best reverse merger firm that specializes in chinese mergers.
2) SRLT is now about 80% owned by some chinese investors. Dont you find that interesting?
3) SRLT has $1M in cash. Top that.
4) New accountants.
5) Xu, the new SRLT CEO, has been the CEO of Motic (www.motic.com) which is a huge chinese microscope firm. There is at least a 75% chance that SRLT will become Motic.
[ May 14, 2006, 23:03: Message edited by: BuyTex ]
posted
This one is slowly moving up. A penny at a time right now. Low volume but might be worth watching. The future might be real bright.
-------------------- Making it a little at a time....Now is the time to determine if you are a man or a mouse. Posts: 1543 | From: Ogilvie, MN, US | Registered: Apr 2004
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-------------------- Making it a little at a time....Now is the time to determine if you are a man or a mouse. Posts: 1543 | From: Ogilvie, MN, US | Registered: Apr 2004
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posted
This one will take some time. But I think I'll hang on to my shares and see what happens.
-------------------- Making it a little at a time....Now is the time to determine if you are a man or a mouse. Posts: 1543 | From: Ogilvie, MN, US | Registered: Apr 2004
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posted
Read the latest filing, particularly - 16.1 acountant Letter from George Stewart to the Securities and Exchange Commission, dated as of May 24, 2006.
The accountant refrenceses China 3C Group. I think that may be a clue as to who may be involved in the RM. If so, they look like they know what they are doing.
posted
This is just a typical Chinese reverse merger i guess. Usually the private firm is some nice, unexciting chinese company, but worth a lot more than the shell was.
The good thing is that we dont have to wait forever. I want to cash out soon bcs. I have 5 more reverse merger plays to buy.
All 5 of my new plays are slow movers, gappers, low volume, and they dont run.
Posts: 298 | Registered: May 2006
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On May 24, 2006, the board of directors of the Company (the “ Board of Directors ”) and the stockholders of the Company holding a majority of the outstanding shares of common stock of the Company approved an amendment to the Articles of Incorporation
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to change the Company's name from Supreme Realty Investments, Inc. to Universal Travel Group and
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to effect a one (1) for ten (10) reverse stock split, whereby, as of the record date, each stockholder shall receive one share for every ten shares then owed.
THE CHANGE OF THE COMPANY'S NAME
The amendments to the Articles of Incorporation will change the Company's name from Supreme Realty Investments, Inc. to Universal Travel Group. The Company is changing its name in anticipation of potentially merging the Company with a Chinese company operating in the travel agency industry. There can be no assurance if or when the Company will enter into any agreement for a business acquisition, or that the Company will ever enter into the travel agency industry.
The chinese insiders have bot their stock at right under 2 cents.
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