"Bison paid 18 million for a few percent of fl mobile,so they have been consultated about the reverse merger and they have agreed otherwise they would have blocked it already" How do you know they've been consulted or that they have the ability to block the merger? Where I come from, if you don't own 51% of something, you have no veto power.
NQ will own a percentage of TF, which will own FL. So NQ is getting nothing in this deal (except an interest in some clothing stores and the ability to keep Bison's $25m) and is giving up a big chunk of FL.
They can announce it as often as they like. Whether they can or will actually do the buyback is up to them, legally and morally. I'd wager they will find a way to do the buyback without actually expending cash, e.g. "we're giving 20 million shares to this other company. this counts as a buyback."
Can you cite any reverse merger where shorts actually lost money? Any?
If your goal is to keep the $25 million from Bison and enrich friends at TF, this seems like a reasonable thing to do. You didn't think the BOD actually cares about shareholders, did you?
They're not getting 570-630m in cash, they're getting 570-630m in newly-issued stock from an apparel company that was worth $300m a month ago. How much is it actually worth? The apparel company had $17m in revenue last year. You decide.
Did you read the earnings announcement? Here, I'll quote it for you.
Net loss attributable to NQ Mobile was $21.7 million in the first quarter of 2014.
Net loss attributable to NQ Mobile was $16.8 million in the second quarter of 2014.
Net loss attributable to NQ Mobile was $17.0 million in the third quarter of 2014.
Individual companies' performance don't matter (except for banks, or unless you're trying to predict moves in the Dow). Money is moving into the S&P 500 because there's no better place for the money to go.
If you're shorting any time between now and next May, you shouldn't be in the market. As long as central banks are easing, there's absolutely no reason to be a bear.
Sorry, FL was sold in exchange for stock in an apparel company that one month ago was worth US$330million and is worth around US$660million now. Whatever profit FL offered to NQ before is now going to be diluted by almost 50% due to another US$600million in stock being issued. On the bright side, NQ can now realize any profits from those 16 clothing stores. And NQ gets to keep the $25 million that Bison and others paid for their stake in FL.