I learned the following:
* According to pinksheets.com
(http://www.pinksheets.com/quote/quote.jsp?symbol=PABN), the last time
PABN traded, it brought in $0.0002 per share, or literally two
ten-thousandths of a dollar. The highest price the stock has reached
in the last year is $0.0014, or 14 ten-thousandths of a dollar. As far
as I can tell, the equity of the entire company, all 8.6 million
shares, is worth about $1,720, despite its holding of nearly $4.2
million in cash. Unfortunately. the presence of stock-purchase
warrants suggests my valuation calculation is too high. Without a
thorough examination of the company's books, I cannot even estimate
the total value of the company, which must reflect more than just the
value of its equity (stock).
* The low market value of PABN suggests that the market believes the
value of the company's liabilities pretty much offsets the value of
the assets. This company is priced for bankruptcy.
However, there is another PanAmerican Bancorp, which trades on the
American Stock Exchange under the symbol PNB. I don't know whether it
is connected with your stock, but you can probably find out with a
simple phone call to the company. The phone number, address, and Web
site are available at http://finance.yahoo.com/q/pr?s=PNB.
Interestingly, if you try to link to SEC filings for PANB.PK at
http://finance.yahoo.com/q/sec?s=PABN.PK, you are linked to financials
for PNB. That could be evidence that they are the same company, or it
could be evidence that Yahoo made an error.
Here are some facts about PNB, taken from quarterly SEC filings:
* The company made money in the September quarter but posted a net
loss in the nine-month period ended September. September-quarter
profits were $158,683, an obscenely small number for any publicly
traded company.
* It is investing heavily in new business, as the loan balance more
than doubled between December 2003 and September 2004.
* The company spent $21 million on an acquisition in the December
quarter, most likely the source of the higher loan balance..
* At the end of December 2003, there were about 5.9 million shares
outstanding. At the end of September 2004, there were 8.6 million
shares outstanding, suggesting the company issued more than 2 million
new shares of stock during the nine-month period. Stock offerings
dilute the value of the holdings of existing stockholders.
* Total proceeds from the stock offering appear to be more than $11
million, with most of the value coming from the sale of stock-purchase
warrants, which further complicate the picture.
In answer to part of your question, yes, your holdings PABN are worth
practically nothing unless you can take a tax loss on the shares.
The spin-off issue is more complicated. Without individually reviewing
every quarterly filing for the last five years, I won't be able to
read about any spinoffs. I suggest you call PNB and ask for the
investor-relations department. If you are a shareholder, they will
tell you whether the two copanies are connected. If they are, then you
can find out from the company whether you have a stake in PNB.
V |
Clarification of Answer by
vercingatorix-ga
on
14 Feb 2005 21:01 PST
EMIJ recent changed its name to Media Holdings International, and now
trdes on the Pink Sheets under the ticker MHDI. The stock just had a
1-for-20 reverse split, which means that for each 20 shares an
individual owned, the individual now owns just one share.
I have done no research on the fundamentals of Media Holdings, but
simply from reading the news release at
http://biz.yahoo.com/bw/050202/25774_1.html, I'd stay away from it. Of
course, if you already own some it is too late, as the stock is almost
worthless.
Extreme Media was spun off from PanAmerican in July 2001. Once you
provided the symbol of the spin-off, I was able to come up with more
details. Anyone who owned PABN in July 2001 should have automatically
received one B unit of the new company for each 5,100 shares of PABN
owned. A "B unit" consists of one share of common stock, one "B"
warrant, and one "C" warrant. I don't know whether the warrants are
still exercisable, and the fastest way to determine that would be to
call the company.
If you owned 130,000 shares of PANB in 2001, you should have received
25 shares of EMIJ (now MHDI). After the reverse split, you should own
one share worth approximately $0.15. I don't know what the warrants
were worth or whether you could exchange them for shares, but it is
very likely that whatever their value in 2001, they have long since
expired. Again, a call to the company should clear this up, especially
if it is made by a shareholder. However, based on the information I
have uncovered, I think it is safe to say your investment is nearly
worthless.
I can tell you that EMIJ made and sold virtual-reality video games,
targeting amusement parks, arcades, and home users. You can read more
about the transaction and the company at
http://www.findarticles.com/p/articles/mi_m0EIN/is_2001_July_11/ai_76453940.
For contact information on the company go to
http://www.pinksheets.com/quote/company_profile.jsp?symbol=MHDI. From
there, you can link to more information, though there isn't much to
say.
The CEO of PanAmerican BanCorp in 2001 was John Schmitz. I don't know
where he is now. The Pink Sheets have been unable to contact the
company (http://www.pinksheets.com/quote/company_profile.jsp?symbol=PABN),
and even thriving Pink Sheets companies are difficult to research. The
company doesn't even have an address and Web site anymoe. Now that
I've read about EMIJ and its relationship with PABN, I don't think
PABN is connected with the PNB stock I discussed in my first answer,
and I can't find any financial filings for EMIJ or the new ticker
MHDI, which tells me if the company is still a going concern, it's
probably nearly gone. There is a John Schmitz working as CFO of a
company called Cenex Harvest States
(http://www.siliconinvestor.com/readmsg.aspx?msgid=19242829), but I
don't know if it's the same guy. The name is more common than you
might realize. I don't know if Schmitz is in jail, though from the
looks of what happened to his company, it is possible!
V
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