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Microcap & Penny Stocks : Zulu-tek, Inc. (ZULU) -- Ignore unavailable to you. Want to Upgrade?

To: Jon Tara who wrote (6603)	5/6/1998 11:12:00 AM
From: PartyTime	Respond to of 18444

I asked about the ESVS/Zulu "vertical integration" concept. But since you brought up the Reuters piece where NETZ and DLCK are mentioned together, let's do examine it. "In a statement issued Monday, Enhanced Services said the resulting entity will be a single enterprise that will pursue a coordinated, vertically integrated business plan focused principally on Internet advertising, electronic commerce, technology development and laptop sales via the Internet. Management of Enhanced and Zulu-tek are now developing the precise structure of the stages for the transaction, which is expected to be implemented later this year, they said." [The above looks okay to me.] "Softbank Interactive Marketing has been considered a leading supplier of Internet advertising for a host of top-name corporations and Web sites." [Fine with me.] "The company was seen as a major rival of DoubleClick Inc. (NASDAQ:DCLK). But the company has undergone an executive exodus since the fall, when Softbank (TOKYO:9984), the Japanese software and media giant, put the company up for sale, and has maintained a significantly lower profile since Zulu-tek acquired it." [What's wrong with this? We know there were too many CEOs (2 from SIM, one in Meatchem and Lair coming on board--something had to happen, didn't it? Supporting staff went with the respective leaders. Common in business, is it not?] "'We've been purposely very quiet," Heather Midgley, an outside spokeswoman for Zulu-tek, told Reuters Monday. But she declined to offer details on the company's business plans or how the integration of Zulu-tek and Softbank was going." [Obviously, we have something to look forward to. Future announcements are hinted here, are they not?] "Houston-based Enhanced Services describes itself as providing technical services for portable computer users, including repair and maintenance. It also sells enhancement accessories for portable computers and provides computer multimedia development services. In anticipation of the combination, Enhanced reported that it may make additional investments in Zulu-tek and is pursuing a private placement to fund a combined business strategy. On March 9, Zulu-tek announced that Enhanced had made an investment of undisclosed size in Zulu-tek and that it expected to begin a $50 million private placement of convertible preferred shares to begin in mid-March. Midgley said Monday the two companies were still pursuing private placement backers. The combination of the two companies is subject to regulatory and shareholder approval and compliance with Nasdaq rules, they said." [This seems okay to me too.] Jon, there's nothing wrong with the above picture. Don't you think the FACT that NETZ has clients similar to Doubleclick stands for something? SIM was seen as a competitor. Once Zulu completes its restructuring it will again be seen as a competitor.