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Gold/Mining/Energy : Arconenergy, Inc. (Long Term Investors and Fundamentals)

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To: Binder who wrote (1670)5/19/1998 7:55:00 AM
From: Alan Markoff  Read Replies (3) of 1757
 
Well yesterdays news enforced to me that MIDL is for real and they mean business to attain long tern investors. It is only obvious to me that the officers of this Company know they have a real product and are doing all that is necessary to get the optimum value out of Arconenergy stock. Some companies may give dividends but I have never seen such a sweet deal that was presented in yesterdays news release by Arconenergy for existing shareholders and future holders of this stock. The warrants being that it was lowered to a .50 strike price gave existing shareholders a tremendous increase in the value of the stock they held as well as an obvious situation that the warrants are undervalued at the close of yesterday. Being that the ask was at .23 while the common was going for .81. .50 + .23 only adds up to .73 so at this time it is obvious that the price is way below what it should be not to mention a premium that they are good till the year 2001 and the promising outlook for DF-144, THE WARRANTS ARE WAY UNDERVALUED based on the current stock price. As far as the preferred the same holds the current ask is only 20.00, and that for every two shares of preferred stock one holds Arconenergy is throwing in one for free for shareholders of record as of 5/29/98. So you have the following 2x20.00=40.00 giving you 70 shares of MIDL which will execute 10/1/98 then to top it off Arconenergy is throwing in another preferred as a dividend which executes 10/1/99. So in effect you have the following 70 shares plus 35 = 105 shares at 40.00 divided by 105= a real cost of only .38! per share at the current ask price. So if the preferred was executable at yesterdays close the real value would be .81 x 105= $85.05 which would make each share of proffered worth $42.52 in actual value which is more than 100% than one is paying at current levels talk about a bargain :-). Now lets forget about the share price and focus on DF-144 if this product is for real it doesn't take a brain scientist to figure what the future revenues will be not to mention the value of ones shares. Also if DF-144 is real their is no doubt in my mind a buyout situation will occur, the reason being that this product is needed now for environmental purposes not to mention all the other benefits associated with it. Arconenergy will simply not be able to keep up with the delivery of this product once it is defined as a real product and proves out to be what Arconenergy claims it to be which simply put is way above anything currently existing in the market place. Gordon was on this forum and it is evident he knows his stuff being that he is a research scientist in this particular field, and with all the scientific terms that he was throwing around as well as patent information he has never claimed that this product was not for real quite the contrary for he stated he picked up a position in this stock. I am sure before doing so he did a little research of his own. He posed a question what would this stock be worth if it in fact what Arconenergy claimed to be true in regards to DF-144 he replied quote; I suspect the upside potential is stunning. Nothing more for me to add I am anticipating for exciting times ahead and anxiously awaiting the outcome of this extremely interesting situation. Am I excited about this stock? What do you think! This is only my opinion but a strong one at that.
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