The Curious Case of Francisco Industries
Own claims in a lawsuit that could 100x your money
I found one of the most interesting stocks on the OTC boards.
Here is the rundown:
The company owned one of the largest sugar companies in the world prior to 1959.
During the Cuban revolution the assets were nationalized and the company lost all of their operating assets.
As of today, there is no operating business.
The only asset the company owns is a $52 million claim against the Cuban government
The claim has been accruing interest at a 6% rate since 1960 when the company’s assets were seized.
The value of the claim including interest is worth $2.3 billion today.
The market cap is a mere $68k.
The security has been left for dead and has one of the best risk/rewards I have ever seen.
The security has been completely bombed out. It is trading at all time lows. It is so obscure that few have ever even wrote it up.
Despite all this, there are some interesting political moves that may surface from President Trump which could send the equity higher and potential for the company to realize a portion, if not all, of these claims.
Because the last time Trump was president, he removed restrictions on an important legal “Act” which allowed companies to take legal action against certain companies transacting in Cuba, potentially allowing companies that have legal claims from the Cuban Nationalization to realize a significant, if not all of their claims.
It should be noted that President Trump was the first and only president to activate this “Act” permitting legal action to go into effect.
Following the activation of the “Act” the stock rose to $11 dollars per share.
Today the stock is at $0.12 per share and the recent move by the Trump administration, to rescind certain actions by the previous administration to ease Cuba sanctions, might put this equity into play again.
What is even more interesting, the family members of this company appear to be actively working behind the scenes to make some legal justice occur, as they own a significant block of the outstanding shares.
The potential for something to actually happen here is probably slim — but if something ever happens, the equity is a 100-bagger.