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Microcap & Penny Stocks : Rentech(RTK) - gas-to-liquids and cleaner fuel -- Ignore unavailable to you. Want to Upgrade?

To: SKARLOEY who wrote (7152)	8/13/1998 3:18:00 PM
From: T.R.	Respond to of 14347

Speculation at its purest... IMHO..If a company buys out another they will go over all contracts with a fine tooth comb (if they hadn't already done so before a deal was cut). There would be at least three groups: 1) Money in the Bag (excellent contracts with excellent companies/ technologies, etc) and/or the reason they bought the company out. 2) Contracts with companies which are RELATIVELY new but are performing according to plan. 3) Speculative in nature. New companies and/or products/services which the existing company believed to have the potential to justify a risk/reward scenario. Depending on why the company was bought out the new entity may decide to sell off, or use an existing escape clause, for those alliances which they are not interested in. As for RNTK...I think it would most likely fall into a category similar to number 3. T.R.