To: DoctorKnow who wrote (940 ) 11/13/1999 8:19:00 PM From: Dave Gore Read Replies (3) | Respond to of 1296
Backdoor IPO play this week with extreme leverage... and fully reporting ****NEW INVESTOR INFORMATION**** PLCO/PLCOP/PLCOW This is timely now. If interested, start with my quick summary to get a quick overview and then read Stockfinder's info (below) which is much more in depth. This is a very unusual and potentially very rewarding opportunity. START HERE: ragingbull.com THEN READ STOCKFINDER'S SUMMARY BELOW: CONTACT THE COMPANY--------------------- Playco Toy & Entertainment 550 Rancheros Dr San Marcos, CA 92069 (760) 471-4505 Ext#108 (CFO) Jim Frakes Ext#114 (Investor Relations) Kathy Kovacs ------------------------WEBSITES--------------------- PLCO Corporate Website playco.com Toys International.com European Website webjumbo.de PLCOP Stock Price Chart clearstation.com . -----------STARTER DUE DILIGENCE INFORMATION------------- (1) UNDERSTANDING THE RELATIONSHIPS ON THESE THREE SECURITIES: PLCO - Common Stock (RB PLCO Message Board) PLCOP - Convertible Preferred Stock PLCOW - Warrants (for Preferred Stock) --------------------------------------------------------- (2) CONVERSIONS --------------------------------------------------------- 1 Share PLCOP - Can be converted after 12/29/99 into 6 shares of PLCO Common Stock. Conversion period @ 6:1 through 12/29/01. --------------------------------------------------------- 1 PLCOP Warrant - And $5.00 can be converted into 1 share of PLCOP (which then can be converted into 6 shares of PLCO. Warrant Expiration 12/29/02. --------------------------------------------------------- (3) STRONG REASON TO BUY: The market is not valuing PLCOP at 6 times the price of PLCO. After 12/29, the price relationship will be 6:1. So by any amount that PLCOP sells less than 6xPLCO represents undervaluation. (4) STRONG REASON TO BUY: The company is lauching ToysInternational.com IPO in Germany/Europe on 11/19. The prevaluation of the IPO is $100 Million dollars according to CEO Richard Brady. $100 Million is approx. 16 times the current market value of PLCO. $100 Million divided by the 5.5 Million PLCO shares = $14.00/Share of PLCO. This will create a strong price base for PLCO and should lead to a significant gain in shareholder value on the Common Shares. PLCO share price has been in the $1.00/Share price range during the Fall. As Market recognition of the IPO increases PLCO will sell at a higher price. An aggressive pricing model based on PLCO $14/Share would equate to $84.00/Share for PLCOP. (This is theoretical but gives a potential investor some idea of the potential of PLCOP.) (5) ABOUT THE COMPANY: Is a retailer of educational, specialty, collectible and traditional toys and hobby products. Operator of 32 toy stores located in six states. For the fiscal year ended 3/31/99, net sales rose 52% to $34.4 million. Net loss applicable to Common fell 56% to $1.6 million in 1997 and PLCO made a $140 thousand profit in 1998. (6) MARKET CAP FOR PLCO: 5.51M Shares Outstanding; 2.20M FLOAT although can only find 1.6M FLOAT in the most recent SEC Filing; (7) STRONGEST QUARTER FOR TOY SALES: The 4th Quarter is the best quarter for retail sales in general and PLCO Toy sales in the 4th quarter follow that trend. (8) NEW TOY WEBSITE: ToysInternational.com (German Language) is being billed as the "eToys of Europe." PLCO, PLCOP, and PLCOW benefit by PLCO's 58% Ownership of this $100,000,000 IPO. (9) SOLID ?BRICK & MORTAR? TOY STORES: Soon 32 Stores Nationally. (10) TOY.COM IPO: Great Capitol Generator. ETYS Market Cap exploded to over $7B on its IPO and gave ETYS a great capitol base. The ToysInternational.com IPO is prevalued at $100 Million and PLCO will 58% of the IPO Shares. PLCO will sell the other 42% of the offering. Total sheres issued is 12 Million with a float of 2.4 Million shares. The CASH from the sale of 42% of the issue hasn't been announced but should fall within the range of $25,000-$50,000 or $4.54-$9.09/Share of PLCO. This should create e significant shareholder value for PLCO and should have an impact on the share prices for PLCO, PLCOP, and PLCOW Warrants. (11) SEC FULL REPORTING COMPANY: PLCO is a fully reporting OTC:BB and has been SEC Compliant for several years. (12) PLCO FINANCIAL TURNAROUND: Not only includes the IPO but an aggressive store expansion program with 32 stores from coast-to-coast. The company broke even in 1998 after losing close to $2 Million in 1997. Existing store sales in 1998 grew +21.8%. New stores provided an increase of $8 Million increase while existing units provided a $4 Million increase. +66% increase in Profits including 3.7 Point Gross Margin Improvement.