Terry T.
I will recreate it.
Interesting ideas, but why not keep it simple,logical, common sensical?
In my experience investing has never been simple, logical or involved common sensibility. I would love to think I could apply logic to Wall Street, but there are too many wolves, diversions, hidden agendas etc.
I don't see any "big money" moving one way or the other with the stock. The volume is,
IMO, relatively small for ZULU and ESVS. The price movements are not that
significant in the short term. And, ZULU's stock has hovered around the .40 to .50
range forever, so what is the big deal about a .33 or .35 price in the short term. Look at
how the stock has been manipulated with small sell orders, for example.
By Big Money I really mean Big Money or Smart Money or Insider Money.
I am referring to the take down from around .75 to the current levels, and the volume added up over that time period amounts to a few shares. So, say if I am an insider or smart and I have a couple of million shares and this apparent big deal is coming, then I am accumulating and will end up sitting pretty in a few months.
IMO, the reason there is no "big money" going one way or the other is because China
International "owns" both companies, through NetVest. The rest of us are along for the
ride.
We don't know who China International is or what part of the stake they purchased. Maybe PH just sold the SIM holdings to them. I keep going back to all of the press releases which is all we have to go by. When EchoMedia was bought it was Burgess who would take Netz to the moon. That didn't happen. Then Meetcham, the auto ex. What was that all about anyway? Then Lair. Oh, what a great hire that was. I read a month of posts about his experience, leadership abilities and how a man with his reputation wouldn't be involved with a BB unless something big was about to happen. Well, that lasted a month. Now we have a whole new crop of new hires. One of them even has ties to Disney! It has been suggested on the Yahoo boards that maybe Zulu's technology will lead Disney into the Internet market. Yes, it has been, is and will continue to be a ride.
ESVS is not going to be promoting the heck out of its negotiations with ZULU, and
taking ZULU personnel, without consummating some sort of deal with Zulu. While
stranger things can happen, this would be pretty stupid for both companies, a waste of
time generating goodwill for a name and a company, misleading to new ad customers,
and adding more confusion and anxiety to a situation with is overwhelmed by too many
transitions already over the last 3 months.
STRANGER THINGS CAN HAPPEN is where my thoughts are. In the 8k there is alot of dialogue about private placements, preferred shares, future share exchanges etc., all based on dates and conditions. In my opinion the entire structure is set up so that they can change it at any time by saying "we didn't make that condition therefore this is the new way we are preceeding."
The swings in stock are due, IMHO, to various blocks of stockholders (not "Big
Money") guessing what is going on with the stock. Look how erratic ESVS has been in
the last week. Somewhat higher volume brought a relatively larger price drop over 2
days in the last week, then an equally higher volume brings the price back up. I don't see
any definitive trend, other than the fact that both ZULU and ESVS are building up to
something really, really big.
This is a prime example of my thoughts. ESVS went to around $5, they announced the stock split/dividend. Remember this was a press release which was effective "immediately". They all received twice as many share, the price dropped in half to reflect this, then the price dropped another 1/2 point so they could load up even more. You and I weren't privy to this. Again, it was the Big Money, Smart Money, Insider Money, whoever getting set for the next big move. Yes, something big is building, but I don't think it is simple, logical or involves common sense. You and I have to be lucky, guess well and try to react fast to the changes.
As far as the hair splitting over a merger vs. combination, after some more thought and
reading all the Yahoo and SI posts, etc., etc., it may very well be that a third player is
out there which will be part of a larger venture. That "new entity" could have multiple
players couldn't it.
Absolutely!
Something big is in the works. There is a lot of firepower on the management team, in a
crackerjack of a market place, with a company (albeit having a ragged history) that has
the infrastructure already set up for a much broader venture into internet advertising.
Star Medical, Netz and previous Zulu don't have anything to do with what is coming. This management firepower is great, if they stick around. It does feel like they will this time. Meetcham and Lair were temporaries, interims if you will.
I can't understand one of the writers saying (I don't recall whom) that he was more
contented last year than now about ZULU. PLEASE, GIVE ME A BREAK. I almost
died laughing (no offense to him or her). I have been around since November, and we
have gone from a penny ante (no pun intended), two bit company with lofty ideals but
no way of realizing those ideals, to a super management team in an industry which is
even hotter than projected last fall, with a very concrete mechanism for getting that much
desired NASDA listing.
He/she probably road the rise from .19 to 1.46 and has some overhang which has now been there for a few months.
I don't mean to sound like a hypster. But, last year I figured this might be a good short
term stock for a pop, but with time I am becoming more and more convinced that this
may turn out to be our dream long term penny stock investment.
No hype on your part. You are just reading press releases and extrapolating from them. Just don't forget there have been alot of changes and alot of press releases (some not so up and up like the one they released on the heals of the DCLK IPO. If you were in place already you did well, if you chased it up thinking the FINANCIALS were coming out soon to support the release you could have been killed. That is that Big Money, Smart Money, Insider Money I am talking about.
In summary, I believe something big is brewing. But even with the press releases and the ESVS 8K as evidence toward a "new entity", I don't have a handle on it and I don't think they will stop tweeking the deal until they are financially positioned properly. Then and only then will the public get to see the deal. Will Zuluites be converted out-of-the-money. I don't know yet. Have the financials been released, sure they have. Is China the PP money, it appears so. Is PH out of the loop, probably after he gets his money. Is this a scam,I don't think so at all.
ESVS is the listed company from which this new entity will be born and they are indeed building a team. The fact that the stock price is not reacting to this news means that the buying public is not in yet.
I have to go do some stuff, so I will leave it for now. Talk to you later. By the way, there is a poster on the Yahoo boards who has rightly predicted the timing of the last few press releases. Is he a shrill or employee? Either way it is interesting reading.
Charles |
