Close, but not quite there yet. A solid recommendation, a solid amount of cash and solid level of uncertainty - meet First Corp(OTC:FSTC
, FSTC message board
) and its promotion. If you are not familiar with the name, don`t worry. It is unlikely that the thousands of other people who are reading the latest promotion are familiar with it either. This is what the $100k are for - to make you check it out and invest, because it is about to explode.
Actually, First Corp was on the verge of exploding for a long time now. This is what the latest promotion
fails to mention among other things. The plot is simple - reverse merger is about to take place, which involves First Corp(the shell), Acquma Holdings Limited and its share of 18% in Tramigo Ltd - a European leader in asset tracking technology. The result of this should be a rapid increase of the share price of First Corp; thus solid returns of investment for current shareholders. Yet, it is important to take into account the key word in this particular situation - the word "if".
Imagine for a second that a huge amount of traders invest in a company with hardly any operations taking place and with four times less cash (total current assets in fact) than the promotion paid for it. If enough people went after the stock, its price might rise as a result of the sudden rush. Yet, how long would it be before they realize the real long and short-term value of the investment is? How long before the mass sell off starts?
The above is a fiction story, but some features in it are not so fictional, because as mentioned already - "if" is the key word for First Corp. The promotion encourages us to look at Tramigo`s website, in order to see the potential of this merger that will take place. What is left for you to check out is the last 10-Q and previous First Corp announcements.
You would no doubt soon discover that speculations about this merger go back as far as 2009, and it is still not complete. As the last 10-Q report gently puts it - "the closing of the agreement is subject the meeting of certain conditions by both parties". Unfortunately, conditions that are up-to-date still not met. So the question is - when, if ever, would they be met?
This is the package deal with First Corp presently. If, indeed the reverse merge takes place, then having its share in a European market leader can significantly improve the financial condition of the company and present shareholders with an investment of solid and sustainable growth. Then the share price might go way beyond its current $0.7 value.
If, however, the merger never takes place, it would be hard to predict how bad the impact on the market would be. Uncertainty would take over, which might chase away potential investors.