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Biotech / Medical : ACMI - Accumed Inc.

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To: Cisco who wrote (1140)1/14/1998 11:25:00 PM
From: Sigmund  Read Replies (1) of 1894
 
Does the valuation used in determining ACMI's share make sense. That is my biggest concern. Of course we don't really know what the others are putting in. $7MM so far which seems like a small amount for $49% of a major part of the company.

I'm not sure how this leads to faster profitability. The new partner puts in money. It is spent and doesn't this lead to negative earnings for both parents in the short run? The benefit is clear that by the end of the year there has been a higher level of effort than ACMI could have done on its own.

This Company, Sakura, does it have a strong position in the U.S.? My girlfriend never heard of them. Granted Cytology isn't her field but she has worked in labs that have had Cytology departments and she has a good memory for the equipment and supplies that she has seen. She also told me that some Cytology equipment is used in Hematology departments why I do not know. I wonder if this company might have become an important factor in the U.S. market only in the past few years. Maybe we can tell from their annual report their geographic distribution of sales. I guess part of the answer is their acquisition of Miles in 1994. This perhaps is the main aspect of their operations in the U.S. My girlfriend knows Miles.

Then there is the question of the sales force. I thought they had decided to unify the sales force rather than having two sales forces. Did I dream this? Now of course there will be at least two sales forces and perhaps three. I wonder how this will work in practice.

This is a major move by ACMI. It is important as investors to know if this bodes well for the future. That is why I am raising these questions.
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