Centra RAKOing It In
by February 3, 2003 12:00 am 145 views
Centra Industries Inc. of Fayetteville has done a reverse merger into a shell provided by RAKO Capital Corp., originally a Nevada mining company.
Gary M. Fuchs, CEO of Centra, said the move will allow Centra to sell stock and continue acquisitions. The company, which recently began trading over the counter as RKOC.OB, will change its name back to Centra within two to three months and be listed on the American Stock Exchange under a new ticker symbol, he said.
“Essentially, it gives us leverage,” Fuchs said. “It actually gives us a true market value, and it’s going to continue to allow us to make more acquisitions. We have someone who is coming in taking an equity investment in the company.”
Fuchs said Stanford Capital plans to buy 841,319 of RAKO’s 25 million common shares, paying $1 million in early February and another $1 million in April.
According to a Jan. 29 press release, RAKO acquired Centra by trading 86 percent of its shares. At that time, Centra’s officers and directors became RAKO’s officers and directors.