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Gold/Mining/Energy : T.ITE: iTech Capital (TSE) -- Ignore unavailable to you. Want to Upgrade?

To: keith massey who wrote (725)	7/20/1999 12:26:00 PM
From: russet	Read Replies (2) \| Respond to of 5053

You get preference in the Medsite.com IPO by buying JDX now. At least that's why I bought in. Am I wrong?

To: keith massey who wrote (725)	7/20/1999 10:13:00 PM
From: keith massey	Read Replies (3) \| Respond to of 5053

I know you guys are going to love this comparison Since there has been a lot of talk about the Medsite.com deal I thought a would give a good comparison. OTC (Open Text Corp) on the TSE - 22 million shares out. They purchased 885,000 shares of MiningCo.com through a private placement prior to their IPO on the NASDAQ on March 29 of this year (symbol MINE and since changed to BOUT). The shares were not available for sale by OTC until Sept. 20 - 6 months after the IPO date. This is almost identical to JDX's present deal..... In addition, OTC was a cash rich company at the time that was looking for another tech. deal...their buy out try for DXX failed recently. Prior to the IPO the stock was selling at $29. OTC already had a core tech. business. - In the two days before the IPO the stock jumped $7 from $30 to $37. - MiningCo.com had a great opening day and OTC jumped from $37 to $45. - MiningCo.com hit $85 the second day of trading and OTC hit a high of $52. That is $29 to $51.70 in three days only because of their holdings in MiningCo.com. There was no other news on OTC in the three weeks period around the IPO. Open Text Corp OTC Shares issued 20,284,597 1999-03-30 close $45 Wednesday Mar 31 1999 The National Post reports in its Wednesday edition that Canadian software company Open Text Corp.'s stock jumped another 13.9 per cent yesterday as the value of its 7.7-per-cent stake in MiningCo.com Inc., an Internet search company, continued to increase. Open Text stock is up 26.6 per cent since the value of the stake began growing. With a market cap of $831-million (U.S.), Open Text's stake was worth almost $64-million (U.S.) at the close Open Text Corp OTC Shares issued 20,284,597 1999-03-31 close $47.5 Thursday Apr 1 1999 The National Post reports in its Thursday, April 1, edition that Open Text advanced $2.50 to $47.50 on the Toronto Stock Exchange, yesterday. The National Post's Garry Marr writes in his Market Action column that the software company's stock touched a new 52-week high of $51.70 and finished the day up 5.6 per cent as the value of its 7.7 per cent stake in Nasdaq listed MiningCo.com continued to increase. Over the next couple of weeks MiningCo.com kept rising and OTC stock hit a high of $61. The most amazing thing is that when MiningCo.com hit its high, OTC holdings in the company were worth around $100 million on paper and they couldn't cash it in until Sept 30. which was still 5 months away. The public, as usual, over-reacted to OTC holdings and drove the price from $30 to $60 based only on OTC's holdings of MiningCo.com. *This is an increase in market capital of 2230 = $660 million** I sure hope the public decides to overreact when Medsite.com's IPO comes around. I would be happy with just a $150 million jump in market capital ($5/share) <ggg> Best Regards KEITH