SHCC.. great day, strong close
We closed strong with an uptick afterhours to end at .155 x .165 with just a
bit over 2M volume!! A strong day indeed.... rumors going around that
tomorrow is the day we recieve the big news we have been waiting for, but
don't get your hopes up.
Looks like we have formed a new base at around .15 in SHCC... I have told you
guys before to accumulate any shares you could below .15... I have loaded up
at .14 and .145, with a tad bit at .135.
I am not gonna scalp this one for a couple of pennies, this one is due to
take off with a couple PRs that Pat Rost has planned to release. Take a look
at the 10 day chart. JNNE took off in April, LAKO took off in May, and it is
my belief that June is SHCC's month, so hold on. By the way if you don't
already know, JNNE, LAKO, and SHCC are Pat Rost stocks.
SHCC previously WOTD.
Old Information on WOTD:
Western Oil & Tire Distributors, Inc. (WOTD) has implemented a growth by
acquisition business consolidation (or "Roll up") plan targeted at the retail
and wholesale tire business and the petroleum product sales and distribution
industry. Such niche commercial product lines are considered essentials by a
growing consumer base. Sales demand is increasing as the automotive and
mobilized commercial equipment after-markets continue to grow. The Company's
initial target areas are the Western US (West of the Mississippi), Western
Canada and selected areas of the Eastern US.
WOTD Strategic Components
The Company's growth strategy is based on acquiring successfully-run
independently-owned businesses. WOTD's strategic goal has two components: 1)
Acquire existing Retail Tire stores and Wholesale Tire Distributors and 2)
Acquire existing Wholesale Petroleum Product Distribution operations. The
petroleum product businesses targeted typically have high annual sales
volumes with low but consistent profit margins, while the targeted tire
businesses have higher profit margins (10% - 15%) and generally average $1
million per year in revenue per retail outlet.
The current popularity of business consolidation and the high level of
interest from both business sellers and the capital markets are providing
WOTD the impetus to accelerate its growth by acquisition efforts.
Western Oil & Tire is not inventing something new, nor are we underselling
the marketplace. WOTD is a growth by acquisition company targeting
profitable, independently-owned companies that are successful market leaders.
Realizing the power and value that brand recognition brings with a leadership
position, we will not be changing the names of the acquired businesses
WOTD is committed to growing the Company by consolidation of smaller
successful independent operators and has targeted $100,000,000 in revenues by
December, 1999. The Company has been most gratified by the overwhelming
acceptance of their business plan by the industry and to date WOTD is
currently negotiating acquisitions of relevant businesses whose annual
revenues exceed $100,000,000.
Petroleum Product Distributor Acquisition
In accordance with its strategy and plan to grow by acquiring existing
petroleum product distributors and wholesale and retail tire businesses with
proven positive operating results, Western Oil & Tire Distributors, Inc.
("WOTD") announced today that it has reached agreement in principal to
acquire a Western United States based petroleum product distributor. The
parties have entered into a Letter of Intent which sets forth major terms and
conditions of the acquisition and are in the process of conducting due
diligence and negotiating other terms and conditions to a final agreement.
This fourteen (14) year old business not only would provide WOTD with an
established $45 million annual petroleum product revenue base, but also would
provide WOTD with a heavily experienced executive level and general
management team to direct and operate WOTD's petroleum product division and
compliment the Company's growth by acquisition plan.
This is the second acquisition candidate signed by the Company. Total sales
of both companies are in excess of $48 million.
The Company plans to continue negotiations with other acquisition candidates
located in Western United States and Canada with a goal of closing 4 to 6
acquisition representing a revenue base of $100 million or more by December
1999
1. International Internet Petroleum & Tire Distributors, Inc
2. Eclipse Energy
3. Internet Interview Inc.
4. ???
Formation of a New Subsidiary ("IIPT")
The Board authorized the formation of a wholly owned subsidiary corporation
to be named International Internet Petroleum & Tire Distributors, Inc. (IIPT)
into which the Company plans to transfer the rights to the trade name
"Western Oil & Tire Distributors, Inc", the business plan and other accounts
relating to the petroleum product and tire distribution project. The slate of
officers and directors planned for IIPT includes highly experienced executive
level management team members who currently own and operate successful
petroleum product and tire businesses.
Spin-off of the WOTD Project to the Company's Shareholders
The Company's new strategic focus includes transferring the ownership of IIPT
to its shareholders in a spin-off transaction whereby the shareholders of the
Company will receive shares in IIPT by a stock distribution proportionate to
each shareholders' interest in the Company at time of such distribution. The
Company's shareholders will own stock in two companies upon completion of the
planned spin-off of IIPT.
IIPT will be directed to focus on the petroleum and tire distribution
business consolidation ("roll-up") plan. IIPT's corporate financing plan
includes future application to become a separate publicly traded company. Two
companies targeted for initial acquisition by IIPT represent an asset base of
over $7 million with reported annual sales for 1998 in excess of $40 million.
Another conversation with Pat Rost on AOL:
This was what a friend of mine sent me this weekend regarding his convo with
Pat Rost friday afternoon:
(friend): Not too bad today .. we moved up a little. Thanks for all the
information. When do you think we may have the next release?
PMRandCo: a couple for next week is projected...
(friend): great ... that's what I was hoping, keep the momentum going
(friend): that as you know is the the whole name of the game. Especially when
you have a stock loaded with short positions
PMRandCo: they are really short....they will not let it go over .15....they
pull it right back each time...time to break the bank......and let it rock..
(friend): yupp ..... Have to go get a yellow beverage to celebrate a good
day. Have a great weekend. cya Monday
PMRandCo: ok then see ya soon...
GO SHCC!
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