Glen Bradford is a contributing writer to TheStreet whose views on stocks are independent of TheStreet's news coverage.

NEW YORK ( TheStreet) -- In the past 48 hours, I've been getting tons of texts, emails and messages along the lines of, "What's up with ENHD ( Energroup Holdings)?"

Anyway, I and two others own more than 5% of the outstanding shares at this point, and I was asked by to follow up because I originally penned an article claiming that it was the cheapest company I knew of.

The company's shares have plunged in the last two trading days after it filed a notice with the Securities and Exchange Commission to cancel the registration of its stock.

In my opinion, the company is worth $800 million plus. You figure, $1.30 earnings per share in 2010 and a growth rate of over 30%. Meanwhile, the company had once traded at a valuation of $80 million and it has actually dropped to a valuation of around $10 million. Note that the company has $40 million of cash. The disconnect here basically is, "What do the common shareholders actually own when this is all said and done?"

If Energroup Holdings (OTC BB: ENHD.OB) is indeed a fraud, it is worth $0. But all the frauds I've seen print and sell shares and disappear. Energroup Holdings so far is playing by the book.

If you were the CEO/chairman of said company, imagine dealing with unfriendly American investors who ask you to jump through hoops and meanwhile are selling out of your company. Why not go somewhere else?

How about somewhere that actually gives you a reasonable valuation? My informal understanding is that the chairman is looking to list somewhere else -- Shanghai or Hong Kong -- and will probably get a much deserved earnings multiple of 30 times or more.

There has been a lot of debate over fraud surrounding the Chinese micro-caps. In fact, there is occasional fraud, but it's not even close to as bad as some of these prices will lead you to believe. A lot of the fraud claims are fraudulent themselves, in my opinion --- that is to say that the claims are designed and distributed to benefit a small subset of investors who actively short companies, spread deceit with such depth that it's hard to verify, cover their shorts when people panic-sell, and in some cases --- actively remove all traces of their deceit. It's pretty much criminal.

That said, it works because it has been working, and long investors are getting out of the way in a predictable fashion. This trend will end. But while it is the trend, I'll gladly accumulate shares.

Anyway, the people who I'm working with are going to talk to the company face to face and have a couple of people on a plane right now to go visit them. Supposedly the company's next step is to acquire all the shares from the current U.S. shareholders.

The price? To be determined. Who knows if we can trust what he's said, but it's a reasonable perspective. He has the cash to buy us out. I don't sell out cheap. I'd love to own the company forever at this price: P/E of 0.4; growth 30%+. Love it.

If Energroup does successfully list on another exchange and gets a reasonable valuation, what is to keep the rest of the U.S.- listed Chinese companies trading here.

Disclosure: Bradford was long ENHD at the time of publication and said he intends to at least double his position if the company decides to dual-list on the Hong Kong exchange or decides to buy out current shareholders.
This commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.