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by Stockwatch Business Reporter

The TSX Venture Exchange fell a fraction to 642.30 Tuesday. The junior exchange has now declined 99.52 points since the start of the month and is quickly approaching what is now the 15-year low of 616.19 last seen in December, 1999, when the TSX-V was called the Canadian Venture Exchange. The Toronto Stock Exchange acquired the CDNX in 2001.

Marc Cernovitch's seven-year-old capital pool shell, Valor Ventures Inc. (VLR), will disappoint its current shareholders next month with another rollback, this time 1:5. Mr. Cernovitch last rolled back the shell 1:3 in April, 2011. Following the upcoming consolidation, Valor will have 1,291,996 postconsolidated shares issued. It plans to then sell a 22-million-share private placement at five cents and establish a new controlling shareholder, David Sidoo's East West Petroleum Corp. (EW: $0.095), which intends to acquire four million shares. Nick DeMare, an accountant and long-time Howe Street promoter, is a director of both Valor and East West, an oil and gas explorer with projects in New Zealand and Romania. Casey Research's Energy Report, previously an East West cheerleader, groused in the July 16, 2014, issue that the market was placing little to no value on East West's Romanian assets. Given the market's lack of interest in East West's Romanian assets, investors probably see them as a burden. Valor could make a decent spin-off vehicle for East West, and might also explain the oil and gas company's interest in acquiring a large position in a shell. Founding IPO shareholders of Valor have probably already written off their investment. They acquired shares at 10 cents before the shell went public in October, 2007. In the first six months of trading, an IPO shareholder could have sold his Valor shares in the market between 28 cents and 64 cents, which would have been a fine sale, but most IPO shareholders usually wait for management to close a qualifying transaction, which Mr. Cernovitch has yet to do.

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