According to this month's Reverse Merger Report, a
company that is owned 11% by Bernard L. Madoff Investment Securities completed
a reverse merger last month. The company, AbTech Holdings, merged with a shell
called Laurel Resources. AbTech makes products to remove pollution from water,
according to the RMR.
The good news: anything that comes out of the ownership
by Madoff's firm goes to his victims. There's a big law firm keeping an eye to
make sure that happens. What's the value of this company? Don't know, but
another large stockholder is Country Life Insurance Co. They apparently have
this thing called the "smart sponge" which takes bad stuff out of the water.
They lost about $2.6 million in 2009 but raised $3 million before the reverse
Small companies doing cool things should have the chance
to grow by accessing public markets, when they can benefit from being public
and can bear the costs of doing so. Let's hope, for BM's victims' sake, that
this one pays off.
For additional insights on reverse mergers,
SPACs, other alternatives to traditional initial public offerings, the small
and microcap markets and the economy, visit the Reverse Merger and
SPAC Blog by David N. Feldman, Esq., Partner of Richardson &
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