Why panic? Because the market looks ahead, and the price will suffer far in advance of when the shareholders are officially wiped out. Both Republican and Democrat support is for unwinding Fannie- Ackman is grasping at straws with his constant pumping but will bail out leaving others holding the bag when he sees fit.
Prescient Point is the same group of folks that were shorting this in 2011 pryor to the buyout. And yes it is no coincidence about Richard Roe coming back.
A-Power Energy (APWR) (British Virgin Islands)
Advanced Battery Technology (ABAT) (Delaware)
Agfeed Industries (FEED) (Nevada)
American Oriental Bioengineering (AOBI) (Colorado)
AutoChina International (AUTCF) (Cayman Islands)
China Agritech (CAGC) (Delaware)
China Century Dragon Media (CCDM) (Delaware)
China Direct Industries (CDII) (Florida)
China Education Alliance (CEAI) (North Carolina)
China Electric Motors (CELM) (Delaware)
China Energy Savings Technology (CESV) (Nevada)
China Infrastructure Investment (CIIC) (Nevada)
China Integrated Energy (CBEH) (Delaware)
China Intelligent Lighting (CILE) (Delaware)
China MediaExpress (CCME) (Delaware)
China Medicine Corporation (CHME)
China Natural Gas (CHNG) (Delaware)
China North East Petroleum (CNEP) (Nevada)
China Nutrifruit (CNGL) (Nevada)
China Ritar Power (CRTP) (Utah)
China Shenghuo Pharmaceutical (CKUN) (Delaware)
China Sky One Medical (CSKI) (Nevada)
China Valves Technology (CVVT) (Nevada)
China Water & Drinks (HEK) (Nevada)
China-Biotics (CHBT) (Delaware)
ChinaCast Education (CAST) (Delaware)
Deer Consumer Products (DEER) (Nevada)
Duoyuan Global Water (DGWIY) (British Virgin Islands)
Duoyuan Printing (DYNP) (Wyoming)
Fuqi International (FUQI) (Delaware)
HQ Sustainable Maritime (HQSM) (Delaware)
Jiangbo Pharmaceuticals (JGBO) (Florida)
Keyuan Petrochemicals (KEYP) (Nevada)
L&L Energy, Inc. (LLEN) (Delaware)
Longtop Financial (LGFTY) (Cayman Islands)
Longwei Petroleum Investment Holding Limited (LPIH)
NIVS IntelliMedia Technology (NIVS) (Delaware)
Orient Paper (ONP) (Nevada)
Orsus Xelent Technologies (ORSX) (Delaware)
Puda Coal (PUDA) (Delaware)
Qiao Xing Mobile Communication (QXMCF) (British Virgin Islands)
Qiao Xing Universal Resources (XINGF) (British Virgin Islands)
RINO International (RINO) (Nevada)
Investors of these companies would beg to differ:
Sino Clean Energy (SCEI) (Nevada)
Sino-Forest Corp. (TSX: TRE) (Ontario)
SinoTech Energy (CTESY) (Cayman Islands)
Subaye (SBAY) (California)
Tibet Pharmaceutical Inc. (TBET) (British Virgin Island)
Universal Travel Group (UTRA) (Nevada)
Wonder Auto Technology (WATG) (Nevada)
Wuhan General Group (WUHN) (Nevada)
Yuhe International (YUII) (Nevada)
ZST Digital Networks (ZSTN) (Delaware)
Akai Holdings & Grande Holdings
Euro-Asia Agricultural Holdings & Yang Bin
Shanghai Land Holdings & Zhou Zhengyi
Yes I am saying it's odd - a big company like Morgan Stanley does not tend to invest in smallcap Chinese reverse mergers, correct? And this management is the same one that recently missed a filing and the same management that has the gall to offer a 9 cent raise in buyout price after several blowout earnings reports. No, that does not sound like a trustworthy management to me.
Good point on the preferred shares. Well 5.7 Million shares traded still indicates institutions bailing out, it is likely Pine Hill, Glenview and the others. Having said that I would not be surprised if Morgan Stanley has lost appetite for this as well- like I said, this is a very odd investment for them, and they have had over a year to be exposed to this shady and unethical management.
Mekong, look at the volume the past few days...Over 5.7 Million shares traded today. Do you think it's your retail friends doing this or the few remaining institutions? This has been a very odd investment for Morgan Stanley and I wouldn't be surprised if they lost trust in the shady management here sometime over the past year as we awaited the buyout.
It's the same reason why I can easily find Chinese RTOs that have P/Es of 1 or 2 and other Chinese RTOs with market capitalizations of less than their net cash balance.
Welcome back Richard Roe. You went into hiding after the halt was lifted and missed a good opportunity to make money riding this up from 4.80 to 6.60. I assume that you also lost your hat covering your short position during that period of time.
If this is the case, the selling should continue until this drops to the low 4s. What amazes me is all the people that think they are catching a bottom here... this has got a long way to go, and will trigger many stop loss orders along the way from those buying in too early. And, after that the danger is this becomes a zombie stock with no institutional support. When I said I was looking to buy if it gets cheap enough, I meant waiting until this drops to the 2s or 3s, and has a catalyst to send it back up in the short term, because this is not a stock that I trust to hold for the long term.
But the other sign of the coin is MS is probably sick of this investment and looking to bail after this failed buyout. In fact, they may very well be part of the wave of selling going on now, which would continue to push the price down further. This has always been a head scratcher of an investment for MS.
Turtle, Done, etc, you guys are jumping the gun big time buying this early... This stock will be testing its 52 week low under 4.83 shortly, and there is no reason to hold or buy this stock at this time. Those who were lucky enough to hedge their bets or take profits had better think twice about riding this one back down to the 3s and 4s.
Now that the buyout condition is removed, YONG does have a chance to experience the pump and dump just like other players in the Chinese smallcap market. GRO, CGA, SEED, and others ran today- if they continue to run, YONG may end up moving as well. This offers the potential opportunity to cash out big time- I remember cashing out of the Chinese pump GSI at 20 dollars on a pump many years ago, and it has been above 3 ever since. The downside with YONG is the market cap/float is much higher making it harder to pump than these other guys. BORN, also ran after hours today which bodes well.
Mekong, I guess you just don't understand the risk you are incurring holding this Chinese reverse merger, with a management that by your own admittance is capable of robbing shareholders. There is very little institutional appetite for this company, and I'm afraid it could turn into a zombie stock like the rest of the Chinese RTO market.
No I'm not an idiot, I bought in the 4.80s/4.90s after the halt and sold in the 6.30s after I realized that the buyout might actually be rejected, much to my surprise. I am already right once, and my next prediction is that this will fall even further from here now that the buyout has failed.
Well don't say I didn't warn you... I tried hard to explain to you that fundamentals do not matter when you talk about Chinese Reverse Mergers, but you didn't listen. I tried to explain that every day you hold this stock you incur some risk that this management could do something fraudulent, such as an illicit transfer of company funds, but you didn't listen. Now this has tanked, and as time goes by I expect the next shoe to drop will be Morgan Stanley jumping ship here.. once that happens this loses all institutional support, turns into a zombie stock, and could sink to under 4. All the meanwhile, I will reiterate again that you are incurring a substantial risk that at any time something fraudulent could happen and wipe you out.
Well stated. With QE ending soon, gold may take another dump- in fact QE and the government printing was the premise for so many longs in this gold argument. IAG's cash costs are very high, and with another drop they will have to idle their mines, which will lead to massive losses and cash burn. That essentially will turn them into a "zombie" as you stated- then at that point you are basically reliant on the gold market turning around in the short term, which may or may not happen with that time frame.