My understanding is that it's a pre prospectus, mandated by the SEC, in order to keep the guns limbered up for a future, tho not guaranteed, offering of REGULAR CLASS A SHARES, no different from the ones trading today. In short, it's a secondary offering. What I'm not absolutely sure about is whether or not another prospectus is needed for the actual offering, or if this suffices, at least within a certain time frame I suppose. Anyone have a definitive answer for the gray areas I'm not sure about?
Am getting really excited about future profits and stock price. I personally can see hope for $1 or 2 of eps if MR makers buy KM too, and in the right market mania a stock price above $50 for their shares. Of course, all bets are off if we go into a bear market, but just think, if they can sign on even most of the 7 (since HP is dropping out) major drive manufacturers, with a volume of 130M + disk drives out in 97 and 98, and multiply that # (130M x ??? per KM coatings) we are talking about a stupendous increase in revenues and earnings, only thing I can compare it to is US Robotics if they charge several dollars a coating, which I think is entirely reasonable considering the 30-40% increase in performance for a couple hundred dollar disk drive. US Robotics went up 10 fold in a year on exploding modem sales sometime in 94 to 96!
Go Ampex!! Sell those KM coatings dear!
PS I also agree we probably won't see any deals now before the end of the year, but a whole slew of them in first 6 months of 97. |
