To: george who wrote (6 ) 1/11/2000 8:54:00 PM From: Ken Sammut Read Replies (1) | Respond to of 23
I received the following from a friend who received the below information from the company's PR person. Added to my position today. Ken >>1999 IN REVIEW Stockgroup has spent 1999 building, developing and growing the company; but the big growth will be this year. For example, we have increased from 20 to 70 employees, launched the new site smallcapcenter.com in October, doubled the sales staff in the last two months, raised money over the last 6 months; to strategically set the company for strong results in the year 2000. While positioning the company for 2000, sales have grown 150% in 1999. We are also the largest brand leader in our space and trade at 15% of our comparable. The www.street.com is a comparable but is not competition, they are in a different space. Global Financial (GLBN) services is another comparable. GBLN has an approximate market capitalization of $272 million, with 11 million shares o/s and a stock price of $24.00. Its 9 month revenue achievement in 1999 was approx. $2.8 million. Stockgroup has a tremendous upside potential with a market capitalization of only $20 million with approximately 8.2 million shares o/s and A STOCK PRICE OF ONLY $2.50. Its 9 month revenue achievement in 1999 was approx. $1.5 million. REVENUE MODEL Stockgroup has three revenue streams: Advertising,Premium Content (subscriptions, licensing fees, etc.), and Business to Business (corporate services). Stockgroup currently has a mix of almost 50% advertising and 50% B2B, with premium content being added this month. Stockgroup has approx. 500 B2B clients and advertisers. TARGET MARKETS Target Market One - Small Cap Investors Seeking Reliable Information Target Market Two - Small Cap Companies Seeking Better Exposure to Investors BACKGROUND Stockgroup is a financial news service that focus' on micro and small cap companies. Comparative to its competitors www.thestreet.com STOCKGROUP has a lot of upside based on its current market valuation which is approximately $24 million and stock price of approx.$2.50. Current financial results showed an increase of 49% in revenue. Also, the company has named David Andelman Editor in Chief. Mr. Andelman is a veteran journalist and correspondent who recently was with Bloomberg. Mr. Andelman will be located in the New York office. For more information and background on STOCKGROUP please call 1-800-267-0209.