PROBABILITE Here it is .
Canada Stockwatch
Signature Brands Ltd -
Kaiser says market likes Signature's .com deal
Signature Brands Ltd
SBX
Shares issued 22,608,541
1999-06-10 close $0.32
Friday Jun 11 1999
John Kaiser, writing in the May 26 Bottom-Fishing Report, says Signature Brands
was just another dumpster food stock trading below 10 cents when, in early April,
it made a deal to acquire CD Plus.com for 250 million shares. The deal sent the
stock soaring to as high as 95 cents, and at the time of Mr. Kaiser's report, it had
settled back to 34 cents. Its fully diluted shares now total around 300 million. With
102 stores, CD Plus's revenues for the nine months ending Dec. 31, 1998, were
$39.2-million with a net income of $1-million. At its current price, the market
suggests a value of $100-million for what amounts to a "really boring story," Mr.
Kaiser says. While retailing new products over the Internet does not offer much in
the way of profit, much more interesting is Signature's plan to acquire Urban
Sound Exchange, which specializes in the sale of used CDs and records. The
Internet has been a boon for used goods, especially items that are no longer in
production; the Internet, he adds, is suited for matching isolated buyers with
obscure used goods.
(c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com
Hopefully after their meeting in july this will take off?
Regards Terry McCartan |
