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Message: RE: Newly authorized shares...

RE: Newly authorized shares...

posted on Sep 13, 2005 08:08AM
Debt financing would just seem to be more of the same.

An equity position by a customer like Wencor would help to add validity to the IFE market for EDIG and credibility to their role, not to mention a capital infusion without any new debt and an apparent solid customer who believes in the future of the IFE market. The road to profitability would be underway.

Preferably non-trading shares for a period of time for a more long term perspective and a board position perhaps.

The stock would pop on news like that. This would not be just another loan with a due date and still no promise of solid orders.

An equity position would be ideal on several levels. Wencor is looking to further expand into IFE, per its IMS efforts. EDIG at these levels offers a nice opportunity not only with respect to giving Wencor a piece of the IP they seek and the low pps works to their advantage. A move like this further enables Wencor to expand its market share by going embedded and actually could yield greater returns, per the stock position.

Soon they will have to declare one way or the other with regard to EDIG`s role...an equity position would be something I would be considering...

More of the same is not what management should be trying to achieve. It`s time to consider other options to build shareholder value. A move such as this does not preclude pursuing other opportunities for EDIG`s technology.

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