A great question Wallstreet, but I suspect you allready know the answer.
EMC was worthless to begin with. It was failing miserably, yet someone dressed it up and projected an image of something it was not.
A good old fashioned confidence trick. Look no further than at the balance sheet of EMC before CWE acquired EMC and there is the answer.
Either management at CCE are stupid, or they were cunningly convinced.
Let’s call it for what it is. It’s a bloody scam!
As for why CCE is offering shares? Simply because no one in their right mind would purchase EMC for cash. It’s been a loss maker for years!!!
But CCE did, and then falsified the position, mislead the market, neglected to mention impending losses and then sold it off for nothing but further pain to shareholders.
I’ve been around for a while, but this is up there in my experience as one of the larger rorts that I have personally witnessed in the market.
Lots of government money. Lots of shareholder money.
Poof!!
CCE Price at posting:
1.9¢ Sentiment: Sell Disclosure: Held
