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To: marcos who wrote (446)7/11/2000 2:04:47 PM
From: keith massey  Respond to of 960
 
Marcos

If you add up the "arithmetic" from the both the CIBT listing and the SEG IPO it really is a stunning number. I don't want to post my total figures for CIBT and SEG together since it is to large and will almost sound like hype. However I am sure most people know how to use a calculator and can figure it out themselves :)

What's with all the paper coming out??

I made some phone calls because I was wondering the same thing. From my understanding there are a few 100K shares floating around that were purchased by a couple of groups last year at a lower cost (before the run-up) that have been coming out onto the market over the past very weeks. This explains the recent weakness in the stock the past few weeks and today’s overhang. I did notice selling from several houses over the past several weeks that have never been players in the stock (e.g. Haywood, IPO Capital) and now this action makes sense. These groups are not directors/insiders of the company but outside groups not affiliated with the company. In fact the directors/insiders have been largely buying/holding through this recent rally. I guess with the hit some people have taken over the past few months it is necessary for these groups to sell some stock that is in profit to cover margin calls, costs, etc. In my opinion this selling doesn’t reflects the fundamentals of the company but just the need by a few groups for very quick cash.

I have been informed that this overhang is being cleared up very quickly. We now have over 177,000 shares traded so I would expect that we have already seen a good majority (or all) of these shares cleaned up. Looking at the depth right now it sure looks like the selling is drying up since I can see $1.99 on the offer.

I am not in this for a very short term flip on news so today's trading records don't mean that much. If you look at what this news means a few month down the road it is amazing. When China gets into the WTO this fall there is going to be a huge promotion of all stocks in China. We will likely hear non-stop talk on CNBC, CNN, etc. about how great this is for foreign companies and how this will greatly accelerate growth in China. At that point CIBT will have a new listing in the US with an very tight structure (low float) and have the perfect business to benifit from this foreign rush into China. Plus by that time the Government will likely announce the approval for granting of degrees online which will draw attention to the E-Learning sector in China. Around the same time SEG will be doing their IPO onto the GEM exchange which is another major event. Nothing like a one-two punch.

The official launch of the SEG website is happening later this month in Hong Kong followed by the advertising blitz (thanks M), new broker announcements and front-end launch so we have lots of things happening between now and then to keep us moving. I would also expect several good announcements from CIBT between now and their new listing.

The next 4 months should be very interesting.



To: marcos who wrote (446)7/11/2000 10:39:27 PM
From: keith massey  Read Replies (1) | Respond to of 960
 
According to the SEC documents Village III has 855,000 shares of which around 700,000 (give or take 50K) are owned by Jack Augsback and Associates. Village III is a vehicle put together by this group and they will hold a significant amount shares (escrowed until they perform) so I thought it would be a prudent move to do some digging.

First thing I dug up... from a clients site.

“Jack Augsback and Associates, Inc., now in their 20th year in business, is a specialist in the placement of equity and debt issues, mergers and acquisitions, asset management, and divestitures. The firm has a long and successful record in financing companies with a strong potential for continued growth.”

In October 1999 it was announced that founder Jack Augsback had assumed the position of chairman of the board and CEO of Jack Augsback & Associates Inc. I found another news blurb that named Mark Stys (on the board of Village III and Jack Augsback) as being named a partner and COO of Jack Augsback and Co dated August 30, 1999.

If you do various searches through 10KWizard, Northern Lights, etc. you will find a bunch of companies they have provided various investment banking services for. It appears that Jack Augsback and Associates closed the private placements or performed the services announced which is definitely a positive since they need to perform for CIBT to get their shares. I did various searches and could not find any incriminating documents (e.g Court Cases, SEC, etc.) naming the company or anyone associated with the company which is also a good thing.... I always like to make sure they have clean records. Of course Carlo Civelli is another story but he isn’t in this deal

Here is some of the deals I dug up-

Telecom Wireless: - In March 1999, Telecom Wireless entered into an agreement whereby Jack Augsback & Associates, Inc., West Palm Beach, Florida, agreed to research and find sources for Telecom Wireless' various needs of financing and to make introductions to persons capable of providing such financing to Telecom Wireless. Pursuant to that agreement, Augsback introduced Telecom Wireless to investors who purchased securities for net proceeds to Telecom Wireless aggregating approximately $3,868,745US.

American Millennium - On September 10, 1999, the Company accepted an investment memorandum prepared by Jack Augsback & Company for a private offering to be made in accordance with the exemption from registration under Regulation D, Rule 506 of the Securities Act of 1933. From a Ragging Bull post on March 16, 2000 -(http://www.ragingbull.altavista.com/mboard/boards.cgi?read=1410&board=AMCI)..
“More good news-Jack Augsback & Associates Inc. has once again been retained to provide financing to fund on-going implementation of this exciting business plan. Augsback & Associates was the firm that provided the funds to drive AMCI to this point and has an excellent reputation in helping developing companies.”

Redneck Foods – Bought seven corporate and 26 franchised barbecue restaurants (Woody’s) for $1.6 million in cash and approximately 1.3 million shares. The acquisition is being funded by a $3 million private placement that has been arranged through Jack Augsback & Associates. Woody’s is the fifth largest barbecue restaurant chain in the country.

Southland Financial, Inc. - Macquarie Bank Limited of Australia will advise Southland on its project to establish a $200 million international telecommunications gateway link into Hong Kong. Southland also announced today that it has closed on the final segment of its 504-D exemption and that the funds have been received. These funds will be utilized for ongoing working capital. Acting as financial consultant to Southland was the investment banking firm of Jack Augsback & Associates

SwiftyNet.com - emerging Internet company in Web development, announced that it has entered into an investment banking agreement with Jack Augsback and Company. Jack Augsback and Company expects to lead SwiftyNet.com into the new millennium. This alliance helps SwiftyNet.com explore strategic and corporate finance objectives with the goal of enhancing shareholder value. SwiftyNet.com, Inc. has been modeling its business strategy after companies like CMGI, Inc.

KIK Tire - April announced that it has signed an exclusive Corporate Finance/Agency Agreement with investment banking firm Jack Augsback & Associates, Inc. of West Palm Beach, Florida. The Company also maintains an office in Paris, France.

Belair Enterprises - Mr. Augsback has been a director of the Company since July 1999

President Telecom – Recently hired Jack Augsback & Assoicates as their investment bankers (from a Ragging Bull post haven’t confirmed).

Healthcomp Evaluation Service – November 23, 1999 – selected Jack Augsback and Company as it’s Investment Banker and Financial Consultant

It appears that Jack Augsback and Associates have a long history and a clean record. Nothing I found during my digging would make me object to having them come on board.