To: eric deaver who wrote (1148 ) 2/16/1998 5:37:00 PM From: John Hanzl Read Replies (1) | Respond to of 14347
All - I have been doing some DD on this company and I gotta say, it looks like Rentech has most of its ducks lined up! A few questions: What is the deal with the some of these acquisitions? I think that the Iron / Cobalt catalyst GTL is 'spot on'. And I also don't mind diversification - but, I dunno... - Okon, Inc. - Rentech announced on March 17, 1997 that it completed its acquisition of the assets of Okon, Inc. A Lakewood, Colorado based manufacturer and distributor of environmentally clean, water repellent sealers and stains for wood, concrete and masonry. The 20 year old company had approximately $2 million in revenue for the fiscal year ended December 31, 1996. - ITN/ES - Rentech has signed a letter of intent and provided a cash down payment to form a limited liability company (LLC) with ITN Energy Systems, Inc. (ITN/ES), a privately held Colorado corporation. The LLC is being formed to commercialize technologies and products developed by ITN/ES. The technologies and products include the production of thin-film electronic material substrates by deposition on which computer chips can be mounted; advanced processes for ceramic deposition on materials to improve their capacity to withstand heat and water, and, utilization of shape memory alloys that are highly advanced metals which by the proper application of heat, cold or electrical impulse can perform a mechanical function with precision for almost unlimited periods of time. Industry sources estimate the world market for electronic substrates to be approximately $500 million and expect it to grow to $2 billion by the year 2000. Note the bold section above and explain what that has to do with: - One of the first products Rentech will be involved in is the Thermal Heat Engine. The Thermal Heat Engine would be considered a major breakthrough in technology and important for developing nations that are in need of off-grid power in remote areas. The Thermal Heat Engine developed by ITN/ES converts the low-value energy contained in waste heated water to useful mechanical energy. Among the uses for the engine are remote water pumping for home use and agricultural irrigations. Of particular significance is the ability of the engine to convert thermal waste energy created in many manufacturing into usable power for internal use on a cost effective basis. Please don't get me wrong - I think that RNTK sounds like a great company, one that I am planning in investing in - like TAVA. I just want to make sure that they are focused and not spread too thin. Any feedback would be greatly appreciated. JohnnyH