IPO Stocks: Chardon 2008 China Acquisition Corp.

(OTCBB:CACAU)
Priced Aug. 11
$53.9 million proceeds
$75.3 million post-money valuation

This special-purpose acquisition company, with a ticker symbol that only a 10-year-old boy could love, snuck onto the IPO calendar earlier this month. The sponsor is Chardon Capital Markets, a boutique investment bank based in New York that specializes in creating SPACs (special-purpose acquisitions companies) and then finding acquisitions for them. One of its earlier SPAC offerings, Shine Media Acquisition (OTCBB:SHND), came public in December of 2006 with the goal of buying a Chinese media or advertising business. On May 6, 2008, it announced that it was acquiring China Greenscape Ltd., a nursery company that cultivates and plants trees and other greenery in public spaces in Chinese cities.

Chardon 2008 China Acquisition Corp. has no industry specialty, other than an intention to find a good business to buy in China.

Lost in the Pipeline

When Shine Media came public, the IPO market was a bit more robust than it is today. And yet, many companies that filed back in 2006 never managed to go public. One of the major drawbacks to a public filing is just that all the information about the business, its profits, and the executives’ compensation is on file with the SEC for all to read, even if the deal never closes. Here are a few of those companies that never came public:

Panther Expedited Services (www.pantherii.com, filed June 2, 2006): Panther is a transportation company, handling expedition and logistics. It does not operate . . .

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