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Microcap & Penny Stocks : TSIG.com TIGI (formerly TSIG) -- Ignore unavailable to you. Want to Upgrade?


To: Tom who wrote (28422)5/18/1999 7:14:00 AM
From: Ellen  Read Replies (1) | Respond to of 44908
 
What would you have to see from the company, first, before you changed your mind about increased shares to fund acquisitions?

Revenue-producing deals from the current company structure.

Also, could it be possible that there are deals which are pending which would change your mind?

Well, let's see 'em!

Sorry, but seeing is believing. I've heard lots of rumors for quite a while now. As I said earlier, I wanna see one.
One of the biggies.



To: Tom who wrote (28422)5/18/1999 8:40:00 AM
From: Suzanne Newsome  Respond to of 44908
 
Tom, you ask good questions, and you ask them so cleverly! Of course, I want to be counted among the forward-thinking.

In the current situation the company is in, no acquisitions!

If TSIG becomes profitable in the fourth quarter, 2 things will happen: the company will have cash on hand and the stock price will go up. Let's look at 2 scenarios. Say the company wants to make a small acquisition this summer for $15 million and the stock price is $.40. That would require 37.5 million shares to be issued.

Now let's say next summer, the company wants to make a similar acquisition for $15 million and the stock price is $4.00 (not hyping, just have to pick a number). Having been profitable for 3 quarters, the company has cash on hand and is able to put $5 million cash down. A bank, seeing the profitable growth trend the company is enjoying, lends the company $5 million at 8% interest. The company issues 1.25 million shares to fund the remaining $5 million.

So waiting one year results in a saving of 36 million shares. I cannot imaging what kind of deal would be worth the issuance of 36 million shares that could be avoided by waiting 1 year. Until the matter of Gordon selling shares is settled once and for all, I am unwilling to provide him with an additional 50 million shares to do whatever with.

Regards, Suzanne




To: Tom who wrote (28422)5/18/1999 11:10:00 AM
From: JWC  Respond to of 44908
 
Back in late 97 there was talk of a number of acquisitions ( and this was before CCI deal). I would guess that Gordon is still interested in these kind of deals.

Jeff