Have you ever dropped something in a puddle of mud and then tried to find it? It’s very hard to see said item; similarly, seeing what the deal is with Life Design Station International, Inc. (PINK:LDSI) may prove to be a daunting task.
LDSI is featured in several pumper newsletters, which claim the company has great potential and its website “will forever change the face of the music business!”
Bold claims, most probably inspired by a $35 thousand compensation for the touting service, since the fundamentals don’t look particularly impressive.[BANNER]
As of March 31, 2012 LDSI reported $750 in cash which account for all the assets of the company. After that date there has been no filing or even a press release to indicate that the company has raised some additional capital.
At the same time the Initial Company Information and Disclosure Statement says that LDSI can satisfy its cash requirements for the next year. That’s a bit strange considering that the same document states that the company leases its office space for $2 thousand per month.
If the company has managed to find additional financing, it may have been a prudent move for the management to make it known to the public.
Now we get to the 60 million shares. The company’s filing reveals that in the first quarter of 2012 the company issued 60 million shares for services. Unfortunately, there is no indication of the person or persons who got those shares, or what the services were. Whatever happened there is no guarantee these shares won’t be dumped today.
Another event which should have been described in more detail is the purchase of the majority interest in LDSI. Supposedly it was obtained by a MKJ Development, Inc. in April. There is no mention of price or any circumstances of the purchase.
If traders are inclined to disregard these signs, they may still want to keep in mind that the company will be trying to compete with giants like iTunes.
In case anyone decides to play the pump, they should get acquainted with some of the previous achievements of the pumpers. The previous job by Penny Stock Circle was NOST. We tried to give investors a heads-up, hopefully they got out before the tragic plunge. You may also want to take a look at RARS.
Before LDSI makes has a remotely convincing claim to potential, the company may need to do a better job filing its reports and letting the public take a look into the inner workings of the enterprise.
