Here's a long post reproducing a few of my prior posts on TRLK. I'm also wild about PERF, which at $4 a share is in a bidding war, with the current bid being $6.05 - i.e. there's a 50% gain to be had for those who act quickly on Monday.
Let me also add that another SI investor spoke with someone from TRLK on Friday and was very happy with what he heard. Nothing is certain in this crazy world, but I'm looking for a double or triple on this within a few days.
TradeLink International update: Drop in stock price believed result of confusion with unrelated company
MIAMI--(BUSINESS WIRE)
No negative news contemplated -- Telecom acquisition efforts still underway
TRADELINK sought to explain the recent drop in the price of its stock from approximately 5 1/4 on Monday, Jan. 20, 1997, to approximately 2 1/8 on Monday, Jan. 27, 1997.
Management of TradeLink, a Florida-based company whose common stock has been quoted on the OTC Bulletin Board since January 1996 (CUSIP
No. 892542-20-0) believes that many investors have confused this interactive marketing and telecommunications company with TradeLink International Ltd., an unrelated Bahamian company. According to its press releases, the Bahamian corporation was recently formed in order to acquire Vector Aeromotive Corp. On Jan. 20, 1997, the Bahamian corporation announced that it had reached an agreement in principal to acquire another aeromotive-related business. None of these companies is related in any way to TradeLink International Inc., and management of this company is considering measures to avoid any further possible confusion.
Richard Herbst, president of TradeLink stated: "Although we cannot be certain that this confusion precipitated the price drop, given the timing of the Bahamian company's news, the way it was disseminated by the wire service and the subsequent trading of our stock, we have every reason to believe that the real support for our work has not flagged and that once this mistaken identity is recognized, the deviation in our stock price should be rectified."
Herbst elaborated that no negative news relating to his company was expected nor was he aware of any other reason for a decline in the price of TradeLink's common stock.
TradeLink intends to close on its acquisition of Wireless USA, as previously announced in October 1996, following the execution of a definitive agreement, which is expected in the very near future. Advisors to TradeLink have been in contact with several other resellers of wireless communications and long-distance traffic and the company hopes to enter into substantive negotiations for several acquisitions during the current quarter. TradeLink's goal
is to acquire synergistic businesses with an aggregate of at least $25 million in revenue before the end of 1997.
Sales of TradeLink's "FonLink" product line have begun, and an aggressive marketing campaign for business communications solutions for North American businesses seeking services in Mexico will be deployed later this month. Although only minimal revenue from sales has been generated to date, TradeLink expects that its interactive voice system in Mexico City will be filled to capacity in the next six months. Later this year, TradeLink will introduce its interactive voice applications for the trade show and publishing businesses in the United States, which are expected to become the most profitable aspects of TradeLink's operations.
TradeLink, which is not required to file annual or quarterly reports under the U.S. securities laws, nevertheless intends to file a registration statement under the Securities Exchange Act of 1934, as amended, which will make it a full reporting company under the law. The registration statement will be filed as quickly as possible following the completion of the audited financial statements for the company's current fiscal year (March 31, 1997). There is no assurance as to if or when the Securities and Exchange Commission would declare such a registration statement effective.
TradeLink is an interactive communications company dedicated to bringing marketing and communications solutions to domestic and international business.
CONTACT: TradeLink International Inc., Miami
Richard Herbst, 305/446-1888
----old (1/31) post below --
Not only was TRLK good for a nice 33% gain today from 1.5 to 2, but for a long time it was trading at 2 3/8 (with a high of 2.5), just down to 2 on an end of the day sell-off dip. I hope to see this stocks fall and subsequent rise sky-write a perfect leter 'U' on its chart.
My reasoning (briefly) is this: Obviously, the stock was at 5 1/4 a week ago. It drops to 1.50, first from a misunderstanding, and then panic selling. The CEO comes on the wire and announces that there is no bad news pending for the stock, and that there is no good reason for the decline (other than the mistaken identity). Therefore, it is still effectively a $5 stock with a major deal in the works to boot.
When one considers the shareholders for this stock, you figure the ones who had it at $5 a week ago and didn't sell during the panic are obviously going to hold on. In the birth of the recovery today, I don't know what the average buy price was, but I imagine it was around the $2 that the stock closed at. Those people won't be selling below that $2, and if they're hoping for a double or triple (as I am) they shouldn't consider profit taking until it hits $4. On top of that, this is a company with great potential that could be a long term hold _period_. If it bottomed out at $1.50, and there won't be many sellers at $2 or less, then the only place this stock should go is up.
Of course, this is only meant to represent my opinions, and everyone should always do their DD.
I've benefited from a lot of picks on this thread, so here are mine: TRLK @ $2 and PERF @ $4.
Bidding war for PERF: PERF just received a bid of 6.05 for the company from Polak Group, up from a former bid of 5.50. The stock currently sells for 4.00 per share (giving the bid over a 50% premium to current stock price). The company says they will consider the offer and entertain other higher bids as well.
Good luck to you all
Chimi |
