Jeff, did you read also the last posts on the EGNS thread. It is really true that this stock is just unknown to the public and that is what keeps the price from going up.
The JV, in which they will have a controlling interest, will have more partners. Intermost (former CBR) which I mentioned earlier, is concentrating on the JV to do business with them because this company has the largest database of companies and a strong sales staff so they are very willing to do business with the new JV.
We believe the acquisition of the old CBR is not going to happen so no Chinese Yahoo building, and I am glad to be honest because the market over there is not as far as in the US, it is not the core business of EGNS and there is a lot of competition. Yahoo is also working on a Chinese version.
And now the importance of the JV. EGNS up till now was mainly focussing on the Data General COBOL market for which they are the only one with y2k products and remediation tools. But the COBOL market is bigger, there are other platforms like IBM which is huge. With the new JV they will be able to address the entire COBOL market, including IBM and other platforms and again EGNS will have 51% of the JV. And now to the market in China, 90% of that market is COBOL. So, the potential there is great for EGNS. This JV will bring EGNS where it never has been before, this achievement is just fantastic and they have put all their energy, including the IR company, to achieving this goal.
After everything is closed they will also go to South Africa where DG also has a large market share. Maybe they can achieve the same over there.
Because EGNS has achieved this in China, it will also open possibilities in the US because now they will know what EGNS can do. And remember, they work in the market of smaller and mid sized companies of who Clinton just told us they had to address to the y2k problem soon. Once EGNS will get into these companies, they will be able to cross sell other products.
And also important is the fact that the IR company will concentrate on the PR after everything is finished in China and maybe South Africa and present this little company to the investors.
I am looking also forward discussing this with you or others. Join us on the thread, we don't have any BS over there, it is a nice and clean thread.
Rene. |
