DDEQ is a BB stock and will at some point spin off GOProfit in an IPO. If DDEQ is listed on the nasdaq small cap or national marked Nasdaq they can spin off Goprofit like PRFM a perfume store is now making a spin off of there Pafumania.com internet stores.
But to get to this point they need the following, They need a stock price over $4 for 30 business days or longer to apply for Nasdaq National market. (I was in canadian BII or BIDS on National market ). Then they need the 50 Mill in equity I think that the 18mill share (from the 18000 share you have see in SEC filling) at current maket price it would be worth 18,000,000 x 5 = $ 90 millions. They also need to be fully reporting (whitch they are)
So I think it is very posible what they are saying and I think the price will keep going up until the internet site is ready.
This is my target price on DDEQ and GoProfit.
4,6 million share + 18 million share =22,6 mill share
I think under the current conditions the IPO could bring $40 per share 10 million shares lets say market cap of 400 millions, so if we get 1 for 10 we would get fre lets say I had 10,000 share I would get 1000 share worth $40,000 free and still own my original 10,000 share in ddeq. If the share in goprofit is worth $40 and lets say DDEQ owns 40% of Goprofit after the the IPO that would give DDEQ a book value in Goprofit of 160million + what ever else they do.
If what I have said here is correct the book value of DDEQ will be 160million divided by 22,6 million shares = $7 book value . The book Value for DDEQ share holders are the $7 + divided the shares of Goprofit in my example $7 per share + $4 per share for Goprofit ((40 x 1000)=40,000/10,000)=$4 per DDEQ share.
So total book value $7+$4= $11 Book Value now give that a PE of 30 and you will have $33 per share of DDEQ as a reasonable price.
This value will change with the ownership % in Goprofit and the price per share of goprofit also DDEQ would in my opinion be another CMGI taking IPO's to market. By the way how do you think CMGI takes IPO's to marked? The Same way ofcouse, they have just done it a few times right.
I hope you understand my post I have try and explain it as good I could. I hope the is reason behind what I am saying.
Good to see you here and I hope you go long with the rest of us good luck
The Saint
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