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Microcap & Penny Stocks : MDI Entertainment (MDIH)

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To: Herc who wrote (506)1/31/2000 8:43:00 AM
From: Allan B.  Read Replies (1) of 563
 
<<Who will win in the end?>>

Probably people who invest in both companies. The Mdih deal is very big because of the minority stake of NBC in the lottery channel. That gives them implied muscle. Elot has formed a couple of important alliances with TTE and ITSI, although at stock prices of 3.5 dollars and .25 cents respectively they are not overly strong financially.

The hard part is getting the first state to commit to the idea of on-line lottery sales. As the pres of MDIH said in the WSJ article, everyone wants to go second.

The main thing for the stockholders of both companies is that it gives the industry to well capitalized companies and validates the idea of on-line lottery sales. Whether it actually comes off is another story.

Good investing

Allan

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