posted
Some DD... Folks, OCFN has been getting some buzz recently and I decided to do some diggin myself before I grabbed some shares. Boy was I blown away! These are one of those stocks you better take a look at before it runs 400%+!!
1st – Most pinksheet companies speak in terms of hundreds of thousands or millions. OCFN speaks in terms of multi-millions and hundreds of millions of $$$$’s! They have $50+ Million in lines of credit! Companies can’t grownwithout financial backing, OCFN has that!
2nd – Most pinksheet companies PR large deals that are un-verifiable. OCFN PR’s deals that are on CBS, NBC and news channels!!!!! Huge!
3rd – DIVIDENDS?!?!?!?!… We are still in the midst of the worst financial crisis of our lifetimes… most companies on the big exchanges are cutting dividends… and OCFN is looking to begin starting a dividend. A pinksheets company with a real dividend! Tell me the last stock you were in that offered such an opportunity? They are so confident in their revenue growth , and that fact that their share structure is so small, that a dividend to reward shareholders will have a limited impact on their financial growth! WOW!!!!
Now here is the last part that caught my attention. And this is a PR from April, so many things have changed for the better since then.
Omega Commercial Finance Estimates Proforma Book Value At 86 Cents Per Share!!!!
And a Quote from the CEO: Jon S. Cummings IV, CEO, stated, ``As of our 2008 third quarter, we posted a book value of 28 cents per share. Since then we have successfully acquired two real estate projects that have exponentially increased our book value on a going forward basis. Because of this fact, we do not feel that our current stock price is indicative or reflective of this.' He also stated, ``We are currently working diligently to finalize an interest only debt financing that will help push our projects along and increase their value as they grow closer to completion.'
So now that I have your attention, let’s get to the meat and potatoes.
OCFN (Omega Commercial Finance Corportaion) has three divisions that focus on financing, Private Equity, and Business credit. They have been focusing on Real Estate as of late and have been taking advantage of the economic downturn to acquire undervalued real estate projects that will provide long-term revenue.
And here is a snapshot of what they have going on since the summer of 2008:
LOS CORALES RESORT PROJECT - February 11, 2009, we announced that we entered into a Definitive Agreement with BBB Developments Mexico and acquired 100% ownership of 3.9 acres of beachfront property located in Puerto Penasco, Mexico. A 3-phase plan has gone into effect with the development of this property turning it into a 298 unit high-rise hotel/condo beach resort located on prime beachfront property. The resort will boast full-scale amenities including luxurious landscaping, pools, Jacuzzis, spas, a beach club, restaurants, a private beach and private pier leading into the ocean. The resort will be comprised of both condos and a hotel meeting the demands of individuals looking to retire, have a second home, or come for a short term stay. Phase 1 has recently been completed and the Company is currently anticipating the initiation of Phase 2. Within the last several days the Company has received a pre-qualified commitment letter from Mexico's largest Bank BBVA Bancomer. This will help facilitate the funding of the project, as well as, provide loans to potential buyers of the resorts luxurious condos. The Company feels the timing of the commitment is perfect because they can now take advantage of certain opportunities with lowered labor and building material costs that the current economy has created. The Company also feels confident that a cyclical upturn with the economy will fall in line with the overall completion of the project. The overall valuation placed on this project upon completion is approximately $116,000,000. STERLING MINES COMMERCIAL PROJECT - March 04, 2009, we announced the signing of a Definitive Agreement to acquire, through a share exchange agreement, the Sterling Mine commercial real estate project. The project is comprised of 30,654 sq. ft. of office and retail space located on 4.8 acres of prime real estate in Tuxedo Park, NY. The project is currently close to 75% complete and will be primarily comprised of retail space with optional adjoining office facilities. As of this date, Omega has been furnished with executed letters of intent that include 5-year occupancy terms by a local leasing agent. These agreements currently represent an occupancy rate of 84% upon completion of the project. The overall valuation of this project upon completion is approximately $7,500,000. OMEGA ROYALE LUXURIOUS CASINO SHIP - July 28, 2008, we announced the signing of a Definitive Agreement to acquire a 100,000-sq.-ft. vessel that the Company anticipates refurbishing into a ultra luxurious resort style casino vessel equipped with a 49,000-sq.-ft. state-of-the-art casino that will include approximately 500 player tracking slot machines and 64 table games consisting of Baccarat, Black Jack, Craps and Roulette. The plush style casino will be spread over four decks, which will be connected via elevators and escalators. A complete Vegas Style Sports Book will afford gamblers the opportunity to wager 24 hours a day on various sport competitions. Resort style amenities such as multiple lounge venues, a Grand Show Room with headliner & production shows, expansive outdoor decks with several unique dining options will adhere to the wide range of gamblers the ship expects to draw. Special attention shall be paid to the ship's VIP facilities. The company anticipates including luxury suite accommodations, a VIP lounge, a world-class Asian spa, business conference facilities and retail boutique shops. At the time this acquisition was completed, management was not able to determine the depth or magnitude of the worldwide economic slump and its effect on the gaming industry. The ability to raise capital for this type of venture has also proved to be a challenging task with the overall sell off of the market and tightening of cash over the last several months. While the Company fully anticipates following through with its initiatives, we are also taking a careful approach in regards to the timing of entering into the casino ship gaming industry. The overall valuation placed upon this project upon completion is approximately $37,000,000. Jon S. Cummings IV, CEO, stated, "We are excited about our future and remain dedicated to building a successful and sustainable business. We are also continuing to diversify our asset base with the goal of bringing various sources of revenue stream to the Company through the strategic implementation of extraordinary and undervalued acquisitions. Over the last several months we have taken bold steps toward achieving that goal, and also toward assuring you, our shareholders, of our absolute commitment to building a company that will increase in shareholder value."
So folks, That is some basic DD I have dug.
DIVIDEND!!!
Now take a look at this from their website! A dividen for a pinksheet company!!? Based on the DD I have Dug I would say their revenues more then support it. And the fact that they have a 6 million float.
Share Structure: 100 Million A/S 28 million O/S 6.7 Million Float
Tight Tight Tight! CHART .078 should be easy first target. Then Blue skies!!
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