Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Keith Minler who wrote (1239)	10/22/1999 2:50:00 PM
From: kanda	Read Replies (1) \| Respond to of 5053

Keith, we are still only assuming that this is the direction JDX will take in their future endeavors. I guess we will have to wait until we get a NR from the company stating their intentions. Personally, I am selling another stock that I feel has good future potential to buy more JDX, because I feel it has the greatest upside at this time. Now, if Yorkton will just keep selling until I have finished my transactions<gg> kanda

To: Keith Minler who wrote (1239)	10/22/1999 3:44:00 PM
From: marcos	Respond to of 5053

Yes, i had to chew some myself on this new development ... if it is in fact a development, we don't know that yet. I'll stop holding my breath waiting for The Halt for the news of The One Big Deal, though. Still - we're trading an inch above fire sale asset value and we have management with proven histories. Mr Market is paying nothing for medsite potential at this point, and imho the most significant point the medsite deal made was that Staudt is both smart and connected. This stands a good chance of bringing us adrenalin in the near future, and in the meantime it has brought us value. So on the eternal buy/sell/hold decision spectrum, i still lean heavy to buy, funds permitting i would take those .79s right now, but alas, Allah did not so favour me this day. Value is not such a bad thing, we'll be glad of it before long ... cheers all ... marcos

To: Keith Minler who wrote (1239)	10/22/1999 4:16:00 PM
From: keith massey	Respond to of 5053

$21 million may not be enough in the venture capital world to buy you a really big bang Actually on average most venture captial deals are only $1-3 million so their $21 million can go a very long way. The Medsite.com deal is a standard deal and not considered small in the VC world. This may explain why they have been at it so long and 50 prospects later, still no deal The venture capital world is based on deal flow. The more deals you see the better your chances of finding a great company. Companies like Softbank, ICGE, CMGI, SFE, etc. may look at 2000-5000 deals a year and only take 5-10 at most. In good venture capital companies, to increase deal flow there is often a syndicate of companies that share deals between each other. Using this approach a company like JDX can get an incredible deal flow going by them since you have numerous groups all looking for good deals at the same time. However these type of business relationships take time to form but once in place the company is set. We already know that Mr. Staudt is connected and used this type of relationship to get Medsite.com. From the Streetwire article due to a personal relationship that Mr. Staudt held with the fund arranging the financing. In talks with JDX recently they have mentioned that the number of deals they are seeing has been steadily increasing so it looks like we are on track if this is the approach they plan on taking and from the recent comments from Jim Graham in the Streetwire article it sure looks like this may be the case. 1)The IPO market remains red hot. Although the IPO market remaining red hot would be great it is not necessary for the success of this type of strategy. Here is a chart of SFE which has gone up over 6000% since its low in 1991. finance.yahoo.com This company has been steadily climbing for the past 8 years although the IPO market has not been hot for all that period. It is all about finding the right companies and having management take an active role in building those companies and this is not reliant on having a hot IPO although nobody complains when that happens. These type of companies are not just holding companies but are often actively involved with the companies they hold and sell at numerous multiples of their assets/holdings. For example, SFE only has $13 in holdings but sells for $80. ICGE in its last quarter had a $1.26 book value but is selling for $110 (http://biz.yahoo.com/p/i/icge.html) 2)CC and his friends remain on board for a much slower process.........The worst of it all, is the time frame, we have seen how long the Medsite IPO has dragged on. For those of us who are adrenalin junkies this is not a good thing. Once deals are done and a couple are trading on the open market there is tons of weekly news events to drive a stock with this type of structure. We are in a slow process right now but if you look at the action on a stock like IGCE you will realize that this is not a slow business once you get up and running. For adrenalin junkies this will be a blast during the up coming year. 3)You have a lot of really great contacts out there. Three words....Staudt, Civelli, Hinchcliff I think that says it all. Best Regards KEITH