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Microcap & Penny Stocks : DESWELL - DSWLF(9.00) and DSWWF(1.25) - PE ratio - 6.5

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To: Dee Em who wrote (11)1/5/1998 9:32:00 AM
From: Allen Furlan  Read Replies (1) of 20
 
Called deswells PR rep in New York. He said that warrants were excerciseable at 2 for $9.05 but that the company had not indicated that a call was imminent. I was interested in the phenomena of deswell warrants in which they passed the call condition threshold and lost all their time premium, an excellent time to buy. Maybe history will repeat and if we have a recovery in asia later this year then nam tai should participate and their warrants will pass through the call condition threshold and warrants will be an excellent buy. In the meantime I am staying with nam tai because they now have options which can be used as hedge mechanisms and will become super hedge mechanisms if the warrrants time value goes flat. Using the warrants like a long term option I may be able to write very favorable time spreads. The assumption is that nam tai, like deswell, may be in no hurry to call the warrants. Its interesting that you like ifmx. Did your due diligence review reveal that they will be finacially viable?
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