DMGM has been traded only a couple of times this year, but a filing with the SEC from Friday made it surge up to over $0.22 and finally settle at $0.14 for a share, an almost inconceivable increase for the stock with a 200-day moving average of $0.00332 and average trading volume of 72,000 shares.
The nearly 19 million shares traded on Friday was thus really an unprecedented value. It followed the first for the last two years SEC filing related in some way to DMGM and the pink sheets company with unknown business and undefined operations became immediately a real gainer on the OTC market.
The filing does not give an idea about DMGM’s business, though DMGM is the “subject company” in a definitive letter of intent, filed by Montana Acquisition Corporation, also a company that is not filing any information about its business activities. According to the letter of intent, the two companies will exchange shares, under the following condition:
“Montana will offer Reorganization Consideration to the holders of DMS’ common voting equity securities for the satisfactory and timely consummation of the Reorganization in an amount equal to $2 (Two Dollars) per share, to be paid by a negotiable promissory note, which shall be distributed on a proportionate basis to DMS’ shareholders by a distribution and/or paying agent satisfactory to DMS’ Board of Directors”
In addition, some never disclosed to the public information about DMGM’s business plans was provided to the investor community by some thoughtful online forum participants.
A forum post provided a link to a document, signed by DMGM’s CEO and Chairman of the Board. According to that document, a “merger” with Montana has been planned already in February this year. Also in February, and according to the same source, DMGM has acquired the controlling interest in a New York corporation, which “is in the process of acquiring 2000 residential homes in Clark County and Washoe County, Nevada, to lease homes under an Union exclusive rent-to-buy program.”
Those users also reminded about an 8-K filing of DMGM from October 2007, claiming that the company still has a granite mine worth $12 million in Argentina.
Thus, it seems that only some further filings with SEC can make it clear if DMGM is being subject to speculations and undisclosed promoting, or the company actually intents to finally do some real business.
