Re: Maybe the fish are MUCH, MUCH smaller than we all think...
in response to
by
posted on
Jun 25, 2008 03:25AM
<RG & Cie are looking for small and smallest companies to purchase in a price range between $0 and $5mio >
That could be it if they're thinking in terms of spreading the risk as opposed to putting all their eggs in one basket. But that is why we hired these guys. For their expertise in making good decisions on the investment front. Spreading the risk would seem to say that we're not sure of what we're doing. And buying into startups at that level, isn't going to provide the revenue streams that are needed. You're talking big time cash burn for extended periods. So I find the option mentioned above as not very likely.
Did everyone notice that IP was mentioned again. Looking for more. That has to be telling us something. Well now. Perhaps there is a third option. What if the rate of exchange in a merger with TPL was already known, based on an assigned value of MMP, plus or minus any new investments and cash/debt. In that case, the present value of the shares is of no consequence. We do know the subject of a merger with TPL has been discussed and remains a possibility. One would hope that PTSC management would not allow the market to determine the value of PTSC in any merger.
Think about it. Even if our pps was at $2.00 today, what company, suitable for a full M&A would take PTSC stock in payment for their company? I'm serious now. If you owned a company worth many millions, would you take payment in PTSC stock? You know from history that that our $2.00 stock can become a $.20 cent stock before you could unload the millions of shares, assuming the deal allowed your to sell them promptly. Unlikely it would.
To me, it is looking more like a TPL merger is in the cards. All IMHO Opty