Sycamore Entertainment Group Inc (OTCMKTS:SEGI) shares dropped 42.86% to $0.00040 and were unchanged in after-hours trading. Share prices have been trading in a 52-week range of $0.00 to $0.00. The company has a market cap of $971K at 1.39 billion shares outstanding.
Sycamore Entertainment Group Inc is an independent film marketing and distribution company that specializes in the acquisition, distribution and development of marketing campaigns. It focuses on participating in various other streams related to filmed entertainment content distribution, as well as various other activities related to funding the print and advertising of acquired feature films. Its film marketing and distribution operations include film acquisitions, publicity, print advertising, billboard advertising, film distribution and online marketing.
The company also offers services, including acquiring films; publicity and public relations, and online content writing and search engine optimization services. It provides distribution services for release commercial films. It represents independent film companies that create domestic and foreign feature films. Its operations include Film Library Development, Distribution, Print and Advertising Fund, and Production.
Just last week, Sycamore Entertainment Group announced that it has executed a “film rights purchase agreement” with top Hollywood producers.
We are excited to be working some of the best talents in Hollywood,” says Edward Sylvan, CEO of Sycamore Entertainment Group. “Our arrangement with LDJ Capital called for us to bring ‘best in class’ projects to the table, I feel we are accomplishing these objectives. We are looking forward to the time when we are able discuss the project in more detail. With the working capital in hand we are in the best position to increase shareholder value by spending on corporate marketing and executing on our lineup of film and TV projects.”
This contributed to more than 70% gains in Sycamore Entertainment Group shares at the start of the week but more than half of this was given back when it announced a self-imposed share issuance lockout.
The lack of trust in OTC issuers by Penny Stock traders has been a major roadblock to issuers when trying to raise the necessary working capital needed to grow their business. Sycamore is taking a first step in restoring that trust with its shareholders,” the company statement indicated. “Effective immediately, we will apply a self-imposed share structure lockout for a minimum of 60 days. During that time, there will be no issuances of new shares, nor will there be any increase to the authorized share capital. It is my opinion, that the current issued and outstanding is ideal to encourage liquidity and allows investors of all sizes to participate in our market.”
In effect, Sycamore Entertainment Group will not be engaging in any reverse split at any time whatsoever in order to provide traders and investors with the confidence that they can participate in the market and not have the share value be eroded due to unnecessary dilution.
We would like to send a message loud and clear that we support the trading and investing community and that we share common goals. The sooner that we can align our interests the faster we can move the company ahead. The new laws allow us to take the power away from dilutive financing options and places it back into the hands of the traders and shareholders who continue to support what we do,” it concluded.
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