More good news from FLNK up 22.5%: Bridge Technology Group LLC Initiates Coverage of
FutureLink Distribution Corp.
With a Buy
Recommendation
Business Editors & Technology Writers
NEW YORK--(BUSINESS WIRE)--May 3, 1999--Bridge Technology Group
LLC announced today that it has initiated coverage of FutureLink
Distribution Corp. (OTC BB:FLNK) with a BUY recommendation. The full
text of this report can be accessed at Bridge's Web site, at
www.BridgeNYC.com.
"FutureLink is leader in tie emerging industry of Application
Service Provision (ASP), or the provision of software applications on
a rental basis," stated Jeffrey B. Davis, President of Bridge
Technology Group LLC. "The ASP market is going to grow significantly
in the next few years, and its impact on software distribution is just
beginning to become recognized by the financial markets. We believe
FLNK offers investors a compelling opportunity to participate in the
growth of this emerging industry, at a valuation that is significantly
below that of comparable ASP companies."
Excerpts from the report follow:
FutureLink Distribution Corp. ("FLNK") is building a leader in
the emerging new industry called Application Service Provision (ASP):
the provision of software applications to users on a rental basis,
either over the Internet or through traditional networking means. In
addition to its ASP services, FLNK provides comprehensive IT
management services and strategic consulting, and currently has over
120 employees in three offices (Calgary, Tampa and Houston), serving
over 100 clients and managing over 4,000 desktops. Independent market
research firms estimate that the market for application software
rentals will grow from practically nothing a couple months ago to
several billion dollars in two to three years.
We believe that FLNK is one of few ASPs that is currently
generating revenues through the rental of branded software
applications. FLNK has chosen an operating platform developed by
Citrix Systems (Nasdaq:CTXS), has partnered with leading enterprise
software producers, such as Onyx Software (Nasdaq:ONXS), Great Plains
(Nasdaq:GPSI) and Applix (Nasdaq:APLX), has launched its first
server farm, and is currently signing up customers for its ASP
services. This emerging industry is getting an increasingly high level
of attention in the media and the financial markets, with the recent
IPO of USInternetworking (Nasdaq:USIX) and the pre-IPO filing of
Interliant, two pure-play comparable companies. Large technology
companies and software producers, including Microsoft (Nasdaq:MSFT)
and Intel (Nasdaq:INTC), have recently made announcements that they
are evaluating software partnering deals and web-hosting businesses,
respectively. We believe the market growth for ASP services is going
to be explosive, and that FLNK is extremely well positioned to
capitalize on this trend. We recommend purchase of FLNK common stock
by investors tolerant of the risks associated with micro-cap and
small-cap equity, and OTC, investments.
-0-
*T
ASP, Applications Service Provision -- The Next Wave in Computing
-- Renting software applications through ASPs, and leveraging the
net-centric computing technology, is the next wave in computing.
-- FLNK currently offers two levels of ASP services, and has been
recognized by independent market research firms as a founding,
and leading, firm in this emerging ASP industry.
-- FLNK has an established IT management services and stsategic
consulting business, which we believe is a critical competitive
advantage to the successful delivery of integrated ASP services.
Strong Corporate Partners and Content Partners
-- FLNK has chosen Citrix Systems, Compaq and UUNet has its enabling
operating system, hardware and Internet service providers,
respectively; Citrix is the leader in the thin client/service
computing software industry.
-- FLNK has agreements with leading enterprise software providers --
Onyx, Great Plains, Applix and Galleon Distributed Technologies
-- to offer their software on an outsourced basis;
Compelling Valuation -- Look at Comparable Company Valuations
-- We believe FLNK shares are significantly undervalued, and provide
a way for investors to participate in this emerging ASP sector at
venture capital valuations, through a public market vehicle; we
recommend purchase of FLNK for investors tolerant of the risks
associated witi micro-cap investments.
*T
-0-
Bridge Technology Group LLC is a registered investment advisor
focused on identifying emerging growth companies in the healthcare and
information technology sectors that offer compelling investment
opportunities over the long term. By providing comprehensive financial
services, including corporate finance, M&A advisory, strategic
partnering and communications consulting, the company positions itself
to provide a fully integrated package of value-added services to
emerging growth companies.
The information in this press release has been obtained from
sources that Bridge Technology Group LLC believes to be reliable, but
the Company does not guarantee its accuracy or completeness. Neither
the information nor any opinion expressed constitutes a solicitation
by Bridge Technology Group LLC for the purchase or sale of any
securities. Bridge Technology Group LLC may solicit investment
banking, consulting or other business from, any company mentioned in
tiis release. Bridge Technology Group LLC or persons associated with
Bridge Technology Group LLC may at anytime be long or short any of the
securities referred to herein and may make purchases or sales thereof
while the Company's reports are in circulation or posted on the Bridge
Technology Group LLC web site at www.BridgeNYC.com. This material, or
any portion thereof, may not be reproduced without prior permission
from Bridge Technology Group LLC. Bridge Technology Group LLC is not
responsible for the contents of this document that is intended for
electronic transmission and could be thus subjected to tampering or
alteration. Copyright (c) 1999 by Bridge Technology Group LLC. All
rights reserved.
--30--RH/da*
CONTACT: Bridge Technology Group LLC
Jeffrey B. Davis, 212/554-4158
212/554-4058 (fax)
info@BridgeNYC.com
KEYWORD: NEW YORK FLORIDA TEXAS INTERNATIONAL CANADA
INDUSTRY KEYWORD: COMPUTERS/ELECTRONICS COMED BANKING
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May-03-1999 09:54 GMT
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