UC Asset announces plan of acquisition to increase awareness for its stock trading
UC Asset LP (OTCQB: UCASU) has announced plans to acquire another publicly-traded company with a larger shareholder base and higher trading volume. The company aims to address its current low trading activity, which stems from having fewer than 200 shareholders since its Reg A IPO. Larry Wu, the company's founder, explains that their tight capital structure has resulted in market attention and frequently zero daily trading volume.
The proposed acquisition would be similar to a reverse merger, where UC Asset would acquire a public company through a security exchange deal. The target company should ideally have minimal business activity but a large shareholder base, preferably from the real estate industry. The company has begun searching for potential targets but has not set a timeline for completion.
UC Asset LP (OTCQB: UCASU) ha annunciato piani per acquisire un'altra società quotata con una base azionaria più ampia e un volume di scambi maggiore. L'azienda mira a risolvere l'attuale bassa attività di trading, dovuta alla presenza di meno di 200 azionisti dalla sua IPO Reg A. Larry Wu, il fondatore dell'azienda, spiega che la loro struttura di capitale ristretta ha portato a una scarsa attenzione da parte del mercato e frequentemente a un volume di scambi giornaliero pari a zero.
L'acquisizione proposta sarebbe simile a una fusione invertita, in cui UC Asset acquisirebbe una società pubblica tramite un'operazione di scambio di titoli. L'azienda target dovrebbe idealmente avere un'attività commerciale minima ma una grande base di azionisti, preferibilmente dal settore immobiliare. L'azienda ha iniziato a cercare potenziali obiettivi, ma non ha fissato un termine per il completamento.
UC Asset LP (OTCQB: UCASU) ha anunciado planes para adquirir otra compañía que cotiza en bolsa con una base accionarial más amplia y un mayor volumen de comercio. La compañía tiene como objetivo abordar su actual baja actividad de trading, que proviene de tener menos de 200 accionistas desde su IPO Reg A. Larry Wu, el fundador de la compañía, explica que su estructura de capital ajustada ha resultado en una falta de atención por parte del mercado y, frecuentemente, en un volumen de comercio diario de cero.
La adquisición propuesta sería similar a una fusión inversa, donde UC Asset adquiriría una compañía pública a través de un acuerdo de intercambio de valores. La compañía objetivo idealmente debería tener una actividad comercial mínima pero una gran base de accionistas, preferiblemente del sector inmobiliario. La empresa ha comenzado a buscar objetivos potenciales, pero no ha establecido un plazo para su finalización.
UC Asset LP (OTCQB: UCASU)는 더 큰 주주 기반과 더 높은 거래량을 가진 또 다른 상장 회사를 인수할 계획을 발표했습니다. 이 회사는 Reg A IPO 이후 200명 미만의 주주로 인해 현재 낮은 거래 활동을 해결하는 것을 목표로 하고 있습니다. 라리 우 회사의 창립자는 그들의 조정된 자본 구조가 시장의 관심을 끌지 못하고 종종 일일 거래량이 제로에 이르렀다고 설명합니다.
제안된 인수는 UC Asset이 증권 교환 거래를 통해 상장 회사를 인수하는 일종의 역합병과 유사할 것입니다. 목표 회사는 이상적으로는 사업 활동이 거의 없지만, 특히 부동산 산업에서 큰 주주 기반을 가져야 합니다. 회사는 잠재적인 목표를 찾기 시작했지만 완료 일정은 정하지 않았습니다.
UC Asset LP (OTCQB: UCASU) a annoncé des plans pour acquérir une autre société cotée en bourse ayant une base d'actionnaires plus large et un volume d'échanges plus élevé. La société vise à remédier à son activité de trading actuellement faible, qui provient d'un nombre d'actionnaires inférieur à 200 depuis son IPO Reg A. Larry Wu, le fondateur de l'entreprise, explique que leur structure de capital restreinte a entraîné un manque d'attention du marché et fréquemment un volume de trading quotidien nul.
L'acquisition proposée serait similaire à une fusion inversée, où UC Asset acquérirait une société publique par le biais d'un échange de titres. L'entreprise cible devrait idéalement avoir une activité commerciale minimale mais une grande base d'actionnaires, de préférence dans l'industrie immobilière. L'entreprise a commencé à rechercher des cibles potentielles, mais n'a pas fixé de calendrier pour l'achèvement.
UC Asset LP (OTCQB: UCASU) hat Pläne angekündigt, ein weiteres börsennotiertes Unternehmen mit einer größeren Aktionärsbasis und höherem Handelsvolumen zu erwerben. Das Unternehmen zielt darauf ab, seine derzeit niedrige Handelsaktivität zu beheben, die darauf zurückzuführen ist, dass es seit seinem Reg A IPO weniger als 200 Aktionäre gibt. Larry Wu, der Gründer des Unternehmens, erklärt, dass ihre enge Kapitalstruktur zu einer geringen Marktaufmerksamkeit und häufig zu einem täglichen Handelsvolumen von null geführt hat.
Die vorgeschlagene Übernahme wäre ähnlich einer Umgekehrten Fusion, bei der UC Asset ein öffentliches Unternehmen durch einen Wertpapiertausch erwerben würde. Das Zielunternehmen sollte idealerweise minimale Geschäftstätigkeit haben, aber eine große Aktionärsbasis, vorzugsweise aus der Immobilienbranche. Das Unternehmen hat mit der Suche nach potenziellen Zielen begonnen, hat jedoch keinen Zeitrahmen für den Abschluss festgelegt.
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"Our company went public through an IPO under Reg A, and remained a company of a tight capital structure," says Larry Wu, founder of UC Asset. "We had less than 90 shareholders when our IPO was closed. Almost 6 years since our shares have been quoted and traded on OTC platform, we still have less than 200 shareholders at this moment."
A tight capital structure, according to Wu, may have lots of benefits. But it means that the company has a very small size of audience who may constantly follow the business progress of the company.
"Very few people are paying attention to any a piece of news about us, whether it is positive or negative," explains Wu. "So there are very few people trading our shares based on what they have read or heard, and even less when there is no news out. In most trading days, the trading volume of our shares is zero."
"As far as we understand it, the market is practically inefficient for us, when the level of trading of our shares is so low. Therefore, our understanding is that it is difficult for the market to find the fair value of our shares, as a more efficient market would presumably do."
Wu emphasizes that the company doesn't hold any opinion on whether its current share price is above or under its fair value. However, the company believes that a more efficient market will help finding out the fair value of its shares.
The company believes that, by acquiring another public company with a much wider shareholder base, it will substantially increase the trading activity of UC Asset's shares.
"The concept will be similar to the idea of a reverse merger," elaborates Wu. "UC Asset will acquire, through a security exchange deal, another public company which should have very limited business action but a very large shareholder base, and preferably from the real estate industry. After the merger, all the shareholders of the target company will become UC Asset's shareholders. The difference between our planned acquisition and a reverse merger is that, the acquiring company in a reverse merger is usually a private company, while for our transaction the acquiring company, namely we ourselves, is also a public company."
Wu claims that UC Asset has started searching for target companies, but has no projection on when or whether the company can reach a deal for such an acquisition. The company welcomes tips on possible opportunities.
About UC Asset LP
UC Asset LP is a limited partnership formed for the purpose of investing in real estate with innovative strategies. For more information about UC Asset, please visit: www.ucasset.com
Disclaimer:
This News Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause our actual results, performance or achievements, or industry results, to differ materially from any these statements. You are cautioned not to place undue reliance on any those forward-looking statements. Except as otherwise required by the federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements after the date of this news release. None of such forward-looking statements should be regarded as a representation by us or any other person that the objectives and plans set forth in this News Release will be achieved or be executed.
For More Information Contact: IR@UCasset.com, +1 470-475-1035
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SOURCE UC Asset LP
FAQ
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