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Microcap & Penny Stocks : ADGI TO ACQUIRE SEXI?

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To: Hubert Few who wrote (14)6/8/1996 11:04:00 AM
From: tao sun   of 70
 
Hubert,

You know I have a great deal of respect to you, however this one, I have to disagree. Do the math. The prjected earning for SEXI from the firm orders is $41 mill which does not include ongoing discussion for new contracts. This gives SEXI a share value $10 if we assume P/E about 30 which is relative low in this market (as a conservative estimate), so the equity value for SEXI comes as $340 mill. With the stock value $0.40 for ADGI, how many shares does ADGI have to issue for SEXI? More than 800 mill. Wow, doesn't sound we have another IDID? How much debt does ADGI have right now? I think at this stage, SEXI has better chance on the finance from banks than ADGI.

I can understand how savy ADGI people are on SEXI, but sorry we are not for sale. :-).
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