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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?


To: DanZ who wrote (1045)11/22/1999 10:34:00 AM
From: marketmover  Read Replies (1) | Respond to of 1438
 
Dan Z -

I agree the GUMM/Citadel financing isnt all that toxic, but it was desperate. So will GUMM's next financing be if the ZICAM product is not an immediate success in the current quarter. So have been the last 20 financings by independent consumer products companies that think they can go it alone against P&G, G, etc (see eg ENML, DLI).

It looks to me like GUMM owns only a minority of ZICAM and has a mkt cap over $150mm, before dilution. This is a product of Gunn Allen market manipulation and retail buyers of the "cure-the-common-cold" story.

I cant imagine that the ZICAM product will ever have greater success and market acceptance than Quigley's Cold-Eze. And look at QGLY now -- getting squeezed off shelves by the big guys and down to a 20mm mkt cap.

So be careful with this one.