To: Joseph Charles & Co
From: Newcom Investors
The recent spate of selling from Joseph Charles & co. brokers, which has driven NWCM shrares from $10 share to an all-time low of $7 3/4, is unconscionable in the extreme. This company is supposed to be Newcom's investment banker, has a "Buy" recomendation out on NWCM, and has a moral, if not a legal, obligation to be supportive of the Company.
Although we long-term investors in the Company cannot complain about the buying opportunity this has created, we can all be grateful to have witnessed Joseph Charles & Co at work. They have done nothing for Newcome since the IPO except put out one analyst report - with no subsequent follow-up or support. The brokers buy and short the stock without compunction. Recent efforts on the part of Newcom to find a new investment banker are therefore not surprising, and, in fact, are welcom to those of us who have watched JCC do NOTHING for Newcom.
It was probably predictable that, when they learned of the efforts to replace them, Joseph Charles & Co would condone a sellout of NWCM stock in order that their brokers buy into deals more current on JCC's IPO roster.
I am delighted to see the JCC holdings in NWCM rapidly approaching 0. Let this serve as a warning to all investors the dangers of participating in Joseph Charles investment banking deals. |
