CCGI...just found this company on my radar screen today, it's up over 60% but still
looks way undervalued...I don't have a position as I just started my DD but this is what
I've found...
Recent news:
biz.yahoo.com
reporting a profit of .033 for first 2 quarters and projecting .12 for the year...a
conservative 10 P/E gets you $1.20
52 week high of $5
Brett
COMPANY: COMTECH CONSOLIDATION GROUP, INC.
Roger R. Stewart CEO/Chairman
1143 Bayou Island Drive
Houston, TX 77063
713/977-2207
ccg.net
OTCBB: CCGI
Fiscal Year End: 12/31
Revenues: 1997: $289,000, 1998: $21.0 million projected
Public Float: 2,400,000
Shares Outstanding: 14,130,200
EPS: 1997: ($.01), 1998: $.11-$.15 projected
ComTech Consolidation Group, Inc. (ComTech), is a consolidation
company that is currently focused primarily on acquiring businesses
associated with the health care industry, utilizing its Roll-Up and Spin-Off
strategy.
ComTech currently has three subsidiaries engaged in healthcare related
services:
Unique Dawning, Inc. (UDI)
One Step Forward Mortgage, Inc. (OSF)
Professional Management Providers, Inc. (PMP)
UDI's core business is operating full service (partial hospital) health care
centers for mental outpatients, with current operations in Southern Texas,
with more soon to open in Louisiana.
OSF specializes in arranging turn key financial assistance (including
bonding) and property management services, designed to meet the needs
of health care providers throughout the Gulf Coast Region.
PMP's core business is providing management consulting services to
smaller home health operators, and is currently under service contract
with twelve home health care agencies located in Louisiana and Texas,
soon to roll-up under UDI.
ComTech also has two soon to be spun-off subsidiaries engaged in
providing Internet access services:
EISP Corp.
Networks On Line (NOL)
Total expenditures in the health care industry exceeded $1.2 trillion
dollars in 1996. This enormous industry has become extremely
specialized and fragmented in recent years, creating enormous
consolidation opportunities.
Sheer economics is driving the market of outpatient services. Spiraling
cost of medical treatment at conventional hospitals have continued to
soar driving patients, insurance companies and health care authorities to
seek out cost effective alternatives for similar services. All industry
reports indicate that this trend is expected to continue to gain momentum
with no end in sight. Technically UDI operations are classified as Partial
Hospital Services by Medicare/Medicaid. A simple analogy would be, a
Partial Hospital is to the health care industry what a Wal-Mart Store is to
the consumer goods industry. The needs are satisfied, and most generally
at a reduced cost.
Industry reports indicate approximately $36 billion was spent in 1996 on
home health care alone, and it is one of the fastest growing segments of
the health care industry. The industry is undergoing massive re-structuring
which is being driven by Medicare/Medicaid reform. New regulations,
increased scrutiny by healthcare authorities coupled with higher quality of
care expectations are creating uncertainties for small operators and
thereby creating consolidation opportunities for companies like ComTech
which offers viable solutions for small home health care operators.
ComTech has positioned itself for rapid growth and is pursuing an
aggressive acquisition Roll-Up and Spin-Off strategy to meet or exceed
its sales and earnings projections.
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