Pearl Street Holdings Plc is currently a cash shell that floated on AIM Index 879 (Other Financial) on 8th October 04 @ 5p per share.



This is another company float that is rumoured on the grapevine where it seems PSH has agreed and signed a deal to a Reverse Merger with a well known large Private Ltd company (name cannot be given out yet by PSH due to stock market rules) and with a Market Cap in triple digit millions. The rumour has it speculated that given the size of company following the reverse merger and once the RNS announcement is made, due in approx 4 - 5wks time so I believe, the SP is expected to leap to +40p per share within about 4 - 6 wks before profit taking and for retail and instutional investors to become aware when there will be the expected flood to buy in and the SP to surge to +100p per share.

Not having much knowledge in Cash Shell Plc's or Reverse Mergers, whether there is any truth in the rumour/speculation or not is yet to be known and as we all are aware with the risk in investing in any type of speculative float, there can realisticly only ever be money that investors are prepared to loose when buying such shares. At the same time it is normally expected that the bid/offer spread MM's would make on speculative small-cap AIM stock is +15%.

However, since floating the SP for PSH has increased 20% to 6p per share with the MM's bid/offer spread at an acceptable risk level @ 8.333% for a marketable companies share. Therefore, perhaps there maybe some truth in the rumour, after all the MM's are the one's who have the inside info and what they are in the know about tends to reflect in the bid/offer spread.

One that's on my radar and worth creating a discussion thread on!

In doing my quarterly round of research into news of Pearl Street Holdings I've come across an RNS that doesn't show up on the MoneyAM site. Albeit dated 6th Dec 05 it is further good news of the contract win for Health Group's YourHealth+ Corporate Fund health care product. Here is the RNS link YourHealth+ signs Johnson Service Group

With the Johnson Service Group joining the growing band of large corporate clients
of the YourHealth+ Corporate Fund, IMHO it will give reassurance for many more large corporate clients to be financially attracted to it and switch into the product when their company employees tradditional PMI renewal dates come up in the coming year.

This also looks as if Pearl Street's loan 600,000 to The Health Group is proving to be an attractive investment, as probably amoungst many other smaller corporate clients not warranting an RNS, the significant contract wins in 2005 are:-

YourHealth Plus Corporate Fund Clients
Redhead International - 180 Employees - Contract Renewal
Foster Yeoman - 700 Employees
Colt Group - 770 Employees
Kent Police - 5,900 Officers
Colt International - 230 Staff
W.H. Smith Plc - Managers & Retirees (Annual Contract 530,000)
Celtic Football Club - Players & Families
GGS Holdings - 226 Employees
Jacksons Fencing - 188 Employees
M-Real - 576 Employees
Johnson Service Group - 1037 Employees

legins,

This makes a good read, IMO, and reveals some of the goings on in a 'broker of principle', that some people refer to as 'boiler rooms'.

http://www.lse.co.uk/ShowStory.asp?story=BY416170T&news_headline=broker_wins_%C2%A335000_for_unfair_dismissa

I see this share is now down 95% on the BID from the original Parker Rowe "recommendation"

wow, nice recovery