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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies -- Ignore unavailable to you. Want to Upgrade?

To: Street Walker who wrote (20930)	12/2/1998 7:34:00 PM
From: CARYTRE	Respond to of 119973

More accurate valuation of USAI. USAI traded in the mid twenties most of the year. Say $25 for arguments sake. With 155mm shares that would be a market cap of $3.87B. TMCS will have 77mm shares. USAI will retain 68% ownership. The ratio of value to USAI shareholders will be $0.27 for every $1.00 of TMCS share value. At USAI current price of $33.75 it has a market value of $5.28B. I would agree that the $8.75 increase in value of USAI shares is attributable to the TMCS ipo. BUT -$8.75 is .27 of $32. At $32 TMCS has a market cap of $2.46B. On a relative basis it would be easy to assume that TMCS may attain a much higher value. Lets say $7B. Thats the same range as EBAY. Then from here ADD $29 to USAI, we are now talking a $60 stock. But wait, what if TMCS attains a market cap in the AMZN range of $21b? Then from here add $120 to USAI, we are now talking $150. HAD ENOUGH?