Calissio Resources Group Inc. (OTCMKTS:CRGP) Surges On Massive Volume

Calissio Resources Group Inc. (OTCMKTS:CRGP) added 22.22% to its market value in yesterday’s session, after announcing that it is finally doing something to improve its horrible share structure.

As per the press release, the company has retired 77.25 million shares of its common stock after a share buy back. Investors were well pleased to hear e news, and as a result of the return back to their good graces, one share of CRGP stock ended up being worth $0.0022 at the end of yesterday’s trading session.

Still, said enthusiastic investors probably should have read the press release more carefully, as it gave away some more crucial information on CRGP‘s share structure. The spikes of heavy trading in the last couple of days suggested that CRGP‘s shares outstanding had ballooned significantly since the last time it reported. However, since it is a pinksheets company, and thus rather lax in such filings, it was next to impossible to know the extent to which CRGP stock had been diluted.

Yesterday’s press release threw some light on that matter, informing investors that now that 77 million shares of CRGP common stock have been retired, the company is left with about 243 MILLION shares of common stock outstanding.

Just to put this information into perspective – on October 6, 2014 CRGP performed a 1-for-200 reverse split, after which it had approximately 3 million shares outstanding. Investors may want to seriously consider the implications of this fact before committing to CGRP stock.

After all, as experience teaches, a company’s balance sheets are important, but there are many more pitfalls investors should watch out for. The company’s attitude towards its share structure is certainly one of the bigger ones, as is the presence of paid pumps.