A predecessor of AMBER TRADE LTD is IPSUM INVEST LTD company. IPSUM INVEST LTD company is a relatively small trade company which successfully operated in the amber market for 3 years. In the September of 2014 this company acquired a major strategic investor. After that the company changed its name, type of ownership and Amber Trade LTD came into the market.
After reorganization Amber Trade LTD felt the need to purchase a prospective mining company. Detailed analysis was carried out and as a result a limited liability company “Stone Mine Ukraine” had been found. It is not a coincidence that it was a Ukrainian company as amber extracted in Ukraine has been in high demand recently due to the fact that the competition in the local market is lower in comparison to the other regions where amber is extracted on mass.
Substantial investments allowed Amber Trade LTD close the deal on the purchase of its main industrial asset – “Stone Mine Ukraine” within a short period of time and as such allowed “Stone Mine Ukraine” to enlarge its areas of amber deposits in western Ukraine as a result of the deal.
All trade operations of the holding go through Amber Trade LTD. Besides, since the purchase of “Stone Mine Ukraine”, Amber Trade LTD has become not only a trade but also and industrial company.
Briefly about “Stone Mine Ukraine”: is a Ukrainian company which has been successfully operating in the market of amber extraction since 2011. It owns the rights to extract amber in several fields of amber deposits in the west of Ukraine. It has been increasing volumes of extraction for 3 years and since recently has become the main asset of Amber Trade LTD. The acquisition of “Stone Mine Ukraine” company was finalized on 31st of October, 2014. As a result Amber Trade LTD has now acquired 100% of the shares in “Stone Mine Ukraine”.
Explored reserves of amber that are available for extraction by “Stone Mine Ukraine” equate to 10 tons. The price of amber depends significantly on its fraction (the size of the rock). It also fluctuates seasonally, but it has been rising gradually in the last few years. As of today, according to internal statistics, the average price for 1 kg of extracted amber is about $2,500.
Two more companies controlled by Amber Trade LTD are currently undergoing the process of registration. One of them is based in China. We will inform you what these companies will be responsible for as part of our holding as soon as they start operating. Please follow the news.
Let’s talk about numbers: the initial cost of a coin is $0,02. It corresponds to total initial market capitalization for Amber Trade LTD of $2,000,000 which is obviously a very low price. This conclusion can be drawn from calculations made on the basis that the price of 10 tons of amber and at its average price of $2,500 per kilo. In addition to this there are at least 3 more internal reserves to help increase the capitalization of the company:
– growth of areas of amber deposits;
– increase in profits from trade operations;
– entry into the market of processing raw materials into semi-manufactured goods and off-the shelf items.
Each of these internal reserves can be found in short-term or medium-term plans of the company. Thus, AmberCoin has a huge potential for growth. Besides, considering that AmberCoin represents shares in Amber Trade LTD, you will receive dividends on a quarterly basis in USD or EUR which is more convinient.
Let’s note that the initial 2 cents price is offered for only 5,000,000 of coins (5% of the company shares). In the future the number of coins to be sold will depend of current financial needs of the company and the price in which the coins are sold will be close to the market price.