10 Jul Chimera Energy Corp (CHMR) added to our watch list today
Chimera Energy Corp (CHMR) became our latest addition to our watch list today.
Chimera Energy Corp sprinted through the process of going public and setting up insiders for riches faster than any ticker I've researched so far.
Setting up the entity
The day before being accepted as a business entity by the NV SOS, on August 4, 2011, a webpage was created for the Chimera Energy Corp
31 year old Charles Grob was planted as the sole officer of the shell, and a lease was signed on August 4, 2011 for a virtual office to use as a corporate address.
Charles went from being a former self-employed "financial advisor" to the president of a company that sells parts for oilfield equipment.
Chimera Energy Corp purchases their products from HJSM Co. Ltd in China to be resold for a profit.
Charles Grob was issued 10,000,000 shares for just $10,000 ($.0001/share).
On August 22, 2011 a $100,000 debt Note was issued to a Marshall Islands entity allegedly operating out of Portugal called Kylemore Corp. The Note comes with an interest rate of 15%. We are not told who owns Kylemore Corp, but we've seen lots of big promotion companies in the past set up with debt Notes to anonymous foreign entities.
According to a response letter to the SEC, Chimera Energy Corp was "introduced to Kylemore by a non-affiliated third-party who had entered into a similar financing arrangement with Kylemore"
On October 19, 2011 an S-1 was filed to take the company public
Helping Chimera Energy Corp go public was David M. Loev and John S. Gillies of The Loev Law Firm
The S-1 filing was approved on 12-1-11
In January of 2012, Chimera Energy Corp sold 5,000,000 shares to some private investors for $75,000 ($.015/share).
Chimera Energy Corp started trading under the symbol CHMR on June 1, 2012.
On June 9, 2012, Chimera Energy Corp did a 4:1 forward split.
Those private investors now own 20,000,000 shares that only cost them $75,000 ($.00375/share)
The CEO, Charles Grob now owns 40,000,000 shares that he received for $10,000 ($.000025/share).
Why this could become a future pump&dump involving paid promotions
Even though CHMR has a nominal business operation reselling oilfield parts which has made them $22,120 during their one year of existence according to the filings, the following features scream to me that CHMR could be set up for a future pump&dump.
1) Entity created for the mere purpose of going public - no prior business history
2) A young CEO involved in a business that he had no prior experience
3) A debt Note issued to an anonymous foreign business entity
4) A virtual office
5) A forward split while all the shares were insider owned.
If this entity follows the normal P&D pattern, a change of control and change of business operations could occur some time in the not too distant future ahead of any big press releases and paid promotions.