09 Jul Apptigo International (APPG) – stock research report
The Apptigo International ticker has been on our radar for some time as it is an original Thomas Puzzo and Ronald Chadwick shell. These two are serial participants in insider enrichment shell schemes. Recent story developments including a forward split and a few days of wakeup volume have made us decide to go ahead and get the name on radar.
The set up
The Apptigo shell started out as Balius Corp. based out of Ireland at 38 Sea View Park Cliffoney, Co. Sligo, Ireland.
His partner running the numbers in the S1 set up is another serial participant in shell factory schemes, Ronald Chadwick.
Balius Corp was incorporated as a for profit in Nevada on October 23, 2012.
The sole officer, Vitaliy Gladky is of foreign (Ukranian) descent - classic move in the standard Puzzo shell factory name.
Vitaliy was issued 10,000,000 shares of company stock for $10,000 giving him full control of the shell and the official babysitter title.
Original business plan
The stated original business plan for the Balius shell was to buy, train and resell young Irish Sport Horses. The stated budget for one year of operations was $50,000.
As part of the setup, the company signed a grazing agreement with Mary Gowan of Ireland, paying her $500 per year to let up to 5 animals graze on her 5 acre pasture.
Gladky shows up as one of the main men at a farm in Ireland called Horse and Hound and was likely promised to be rewarded handsomely by Puzzo or a contact of Thomas for Vitaliy taking on the babysitting role for the shell.
Vitaly stated that within 6 months they would have established an office, developed a website, purchased new horses and hired a horse trainer. After 6 months, he was to begin a marketing campaign. Penny stock veterans know that this will never be the case.
Thomas thought that this story was good enough for the SEC to give their blessing to another one of his countless shell factory schemes - and it was.
The SEC gave their full blessing to the scheme on May 14,2013, declaring the 10,000,000 shares in the offering effective.
On December 6, 2013, Balius replaced Ronald Chadwick as CPA with another penny stock veteran crew - Cutler & Co, LLC.
Fred Aaron authors the change of auditor 8k filing
Fred Aaron is a name that has come up before in our research and is the author of the aforementioned auditor change 8k. Fred has authored filings for ticker JOEY (formerly POTO), heavily promoted ticker AMZZ, MPAY and others. This is not of any real significance, except to connect this ticker to those previously promoted tickers and players, which increases the likelihood of future awareness and the name coming 'into play'.
Bring in the insiders behind the play
The company issued 2,550,000 shares of its common stock at $0.01 per share for total cash proceeds of $25,500 between May 29 and June 26, 2013 to the future anonymous money behind the play.
The company would then go on to deregister the remaining 7,250,000 shares originally registered with their S1 filing on April 18, 2014.
In comes Apptigo International Inc.
On April 14, 2014 the company filed an 8k announcing that the babysitting period of the game had come to an end. Just 14 months after filing to take Balius Corp. public as an Irish Sport Horse reseller, the entity took the utterly predictable step of bringing in a new entity with which to bring shares to market.
At closing of the deemed reverse acquisition deal, the company would issue 2,450,000 shares to each David Steinberg and Casey Cordes, the two shareholders of Apptigo.
The company will pay Steinberg and Cordes each $9000 / month salary - a huge commitment for a startup.
The company would issue 145,000 convertible preferred shares to The Vantage Group Ltd. which are convertible into 4,550,000 common shares.
The Vantage Group Ltd. has done a financing deal for long lived penny stock play, MDFI.
The company sold 800,000 shares to two unnamed investors for $400,000.
Vitaliy Gladky agreed to cancel his 10,000,000 shares and resigned from all positions.
This gave Apptigo 8,250,000 shares outstanding at the time of the deal.
The company's new offices are located at 61 Venetian Way, Suite 33B, Miami Beach, Florida 33133.
With an 8k filing on May 1, 2014 the company announced a 3.5 for 1 forward split increasing the bounty for inside money in the play. The split also increased the amount of convertible preferred shares issued to The Vantage Group Ltd.
They also announced a symbol change from BALI to APPG.
Free trading: 8,925,000 (.00285 / share)
Convertible preferred (The vantage Group Ltd.):507,500 (convertible into 15,925,000 common)
Unnamed investors: 2,800,000 (restricted)
Score MatchMaker / Stock Awards Plan
On June 25, 2014 the company stated in an 8k filing that they were no longer a shell company, thus freeing up rule 144 to be used to render previously restricted shares to now be free trading.
The company used the launching of their mobile app SCORE Matchmaker which is being sold in the itunes store as reason for the status change. They have now hired 4 employees to maintain and expand the product.
In addition to the launch of the new app, and the change in status, Apptigo also announced a stock incentive plan by which they can award employees, directors, consultants, advisors, etc up to 4,500,000 shares.
Hanover Elite / Elite Financial Communications Group
Handing the IR duties for the Apptigo shell is the one and only Dodi Handy. Dodi runs the Hanover Elite and Elite Financial Communications groups. Dodi has been involved in many a promotion stock over the years including the Awesome Penny Stock one day play AWSR and full blown promotion stock DIMI. Tim Sykes goes into great detail here in his blog post about Dodi. When she is on board, awareness is only a matter of time.
With the prototypical promo setup and big name promotion stock players, the Apptigo International shell is very likely to receive awareness in the near future. Sub penny shares to the insiders, cheap preferred shares awaiting conversion, the cast and crew are all here. For now we have a well controlled low float promotion stock shell that is beginning to get in motion. News hit the wires on July 7 about the new website and app. The chart is setting up as a climber. Lets watch and see what the next move is as the name may provide short term profit ops in the very near future. As always trade the action in front of you.