I know nothing about COOL or WCAP except this. Alex Brown and Montgomery are the underwriters for COOL's 4 million share $63.3 million offering. These are household technology underwriters, not penny bull s.
We have seen INKT $370 million IPO reach a value as much $1.8 billion ($88 3/4), or nearly 5 times its IPO value. Currently INKT is worth $1.1 billion ($55), or around 3 times its IPO.
So, assuming COOL also has potential to trade 3-5 times IPO value, than we are looking at a value of $190-315 million ($47-79) for COOL.
1.7 million shares valued at $47-79 implies that WCAP's holdings of COOL could potentially be worth $80-134 million. Currently WCAP market value is $51 million. WCAP, based on its COOL holding alone, could be worth $16-27 per share.
This is assuming that WCAP does indeed own 1.7 million shares of COOL, which I do not know.
Anyway, I am not saying COOL or WCAP will go up. The point is, WCAP has the potential to wipe at short sellers at current price. I'd only short it at $27.
Meanwhile, you should shorted all the crappy little $1 and $2 stocks I own, they are sucking have big time. Watch LCLD go to zero tomorrow. |
