Saturday, August 13, 2005
Triangle Multi Media (QBID)
Management has announced that the billion shares that were to be retired is complete. This reduction in float will be effective immediately.The stock is trading at about 5 shares for a penny. When you go through their press releases, it's fairly clear that this is not a seasoned business team.
"We converted QBID shares into preferred stock, eliminating fifty-three percent of the tradable outstanding shares. We are confident this will strengthen the demand for our stock, and dry up the supply of trading shares that we feel are being manipulated in the market," said Olsen. "Converting our common stock into preferred stock will allow us to retain voting rights, but will also squeeze out the large short position in the stock. Q Television will continue to be as aggressive as possible, and do everything necessary to ensure our shareholders are treated fairly."If those shares weren't being traded (they almost certainly weren't), then this move was pointless in terms of removing shares from the market. And short sellers on the pink sheets can pretty much do whatever they want, anyway. They could short more shares than exist and you'd never know about it. Complaints about that general problem are even on the main page of the Pink Sheets website.
Unfortunately, there is essentially zero useful information about the stock or the business, the capital structure, or anything else. If you want your share prices to go up, how about this idea: disclosing (audited) information needed by investors using Generally Accepted Accounting Principles and transparent presentation!?!? Do that and get some good business results and you won't have to worry about shorts, they'll be doing the worrying.