* working capital of $0.12 per share with no LT debt
* multiple light oil well drilling locations in Viewfield, SK
* carried interests with no drilling costs
* natural gas at Pembina – 10-12 additional locations identified
Intema (ITM.v) – Eventia division produces second high gross margin conference right after Toronto event
With slightly larger parameters, the high gross margin conference series of Webcom will be duplicated from Toronto to Montreal may 26th 2010. The Toronto (April 7th 2010) event will be hosting 26 presenters , where as the Montreal conference is set for 34 sessions and conferences. Attendees are welcomed at 495$ per person.
One of the Montreal featured guest speaker is none other than Jimmy Whales, founder of Wikipedia.
Without a doubt, Michel Chioini is proving his merit since the acquisition has taken place. The financial repercussions of this recurring and lucrative endeavor will find its way its subsequent quarterly statements.
Intema is wasting no time, paving the way for their new acquisition Eventia to produce an impact on the bottom line. This new division is the producer of Webcom Montreal Conferences, now expanding in Toronto. Their initial growth thrust will be held April 7th 2010. Webcom is aimed at decision-makers and professionals in the Internet and Intranet, marketing, and internal and external communications fields.
From a shareholder point of view, one will be happy to realize that this is a high gross margin revenue stream, which can be duplicated in many other cities afterwards. Sponsors have paid 7500$ each, with some additional guest at 325$ per head. From the schedule: http://webcom-toronto.com/schedule.php , one can count 26 presenters.
Some high profile companies represented are:
- TD Bank Financial Group
- Allstream
- Proctor & Gamble
- Canam Group
- Pricewaterhouse Coopers
- And others shown in the link : http://webcom-toronto.com/speakers.php
Here is a brief description of the event displayed on their website ( http://webcom-toronto.com/contact-us.php )
webcom Toronto will be held for the first time on April 7th 2010 at the Chestnut Convention Center (University of Toronto). This International event is the natural expansion of webcom Montreal, an exciting conference with a positive impact on the Canadian Web industry since 2006.
LES PRODUCTIONS EVENTIA INC. has produced the 7 Editions of webcom Montreal on October 11th, 2006, May 10th and November 14th, 2007, May 14th and November 12th, 2008, May 13th, 2009 and October 22nd, 2009.
For this first Toronto’s Edition, Eventia can rely on the experience of Mr. Michel Chioini (Producer), Mr. Claude Malaison (Program Co-Chair) and Ms. Jane Dysart (Program Co-Chair) who is leading the Business Development and Communications. She brings to webcom her immense experience, and is considered one of the best conference organizers and is an expert networker.
The wealth of experiences and involvement in the Web community by these principals ensures webcom's solid one-day focus on new Web trends: Web 2.0, 3D & Interactive Communication & Marketing.
In the past, this successful venue entertained by Michel Chioini, now part of the Intema Management team, has attracted companies such as:
- Microsoft
- Ubisoft
- Telus
- Laurentian Bank
- Government of Canada¸
- Government of Quebec and various ministries
- Cirque du Soleil
- Bombardier
- Cogeco
- Desjardins
- Axa insurance
- Hydro-Quebec
- Yellow Pages
- Investment Quebec
- Lise Watier
- The liberal Party and Parti Quebecois
- National Film Board of Canada
- Raymond Chabot Grant Thornton
- Reitmans
- Reader’s Digest
- Schering-Plough
- Radio-Canada
- Westburne
- City of Montreal
- Several universities, such as McGill
- See the rest on page 2 of the following document: http://webcom-toronto.com/sponsorship_toronto.pdf
Needless to say, this expandable initiative will flow some seeds down to the bottom line.
P.S. The above is simply my personal understanding and not to be construed as investment advice. I’m not a broker, promoter, director, manager or employee of the aforementioned company, just a shareholder. Typos could have occurred. Do your own due diligence.
elephant
Posted: Tue Mar 16 17:52:45 2010
Could means a floor price but not necessarely a turnaround play...they need to support the stock somewhere...because they don't want a stock consolidation.
The company headquarter is in Montreal and I live in Montreal.
do you want more feedback?
Be carefull...
Tara
Posted: Tue Mar 16 5:55:48 2010
More concrete proofs of the underground message spelled out by the company. Read in between the lines. The son of the majority stakeholder, Sebastien Plourde, is starting to buy on the open market. Nobody will send you an outright telegraph that the stock price is about to unblock, one has to be able to put the pieces of the puzzle together and detect the signs.
Intema Solutions Inc. (ITM) As of March 15th, 2010
Mar 12/10 Mar 09/10 Plourde, Sebastien Direct Ownership Common Shares 10 - Acquisition in the public market 10,000 $0.050
elephant
Posted: Wed Mar 10 15:25:34 2010
no good means dilution...
How can they take some money....cash is very tight.
Cross your fingers...
Tara
Posted: Wed Mar 10 9:36:18 2010
Intema (ITV.v)
Let’s analyze the recent events from a minority shareholder standpoint, to verify if the developments are in our favour… or not:
- the company recently bought a company called Eventia and kept on board its star witness Michel Chioini
- the company managed to advance final payment of the C2 software sale, and collected 415 000$ as a balance of sale
- the company secured a new short-term loan of $250,000 on its tax credits receivable for the year ended Dec. 31, 2009, to accelerate current market initiatives for Les Productions Eventia
- The CFO has been buying shares of the company, on the open market
- Two related parties which were owed small amounts of money have decided to accept shares of Intema, instead of cash repayment. See below
Conseillers Coporatifs Focus, 384,615 common shares at a price of $0,05
per share for a total of $19,230.75 for the professional fees portion’s
payable in shares.
Stéphane Lauzière, 249,011 common shares at a price of $0,05 per share
for a total of $12,450.55 for professional fees.
Conclusions: Intema is pursuing growth, securing the financial means to do so, people on the inside are buying at current depressed prices and other are willingly taking shares instead of cash. One can only deduce that the ongoing initiatives have the likelihood of producing a share price increase, which would explain all the behaviours above.
P.S. The above is simply my personal understanding and not to be construed as investment advice. I’m not a broker, promoter, director, manager or employee of the aforementioned company, just a shareholder. Typos could have occurred. Do your own due diligence.
Tara
Posted: Mon Mar 1 7:05:59 2010
Intema announces securing credit line to pursue development plans stemming from recent acquisition of Eventia. Remember the CFO starting buying recently:
INTEMA SOLUTIONS: NEW FINANCING AND BALANCE OF SALE REIMBURSMENT
Intema Solutions Inc. has concluded a deal with Banque de Montreal with regard to a new short-term loan of $250,000 on its tax credits receivable for the year ended Dec. 31, 2009. In addition, as anticipated last fall, Intema also concluded a deal with C2 Innovation for a lump sum payment of $415,000 from its balance of sale.
Those two events will help Intema increase its cash flow and move forward with the acquisition of Les Productions Eventia (webcom). "The increase in the cash flow will solidify the financial situation of Intema and will help the company follow its acquisition plan to become an important player in the Web marketing sector in Quebec," stated Pierre Ravary, chief financial officer. "It is also an opportunity to launch our development plan for new products such as e-mail tools for electronic flyer behaviour analysis," added Roger Plourde, president.
Issuance of shares
Intema announces the issuance of common shares for:
Conseillers Coporatifs Focus, 384,615 common shares at a price of five cents per share for a total of $19,230.75 for the professional fees portion payable in shares;
Stephane Lauziere, 249,011 common shares at a price of five cents per share for a total of $12,450.55 for professional fees.
The issuances of these shares is following a resolution from the annual shareholders meeting of Aug. 27, 2009, and is conform to the authorities approval.
We seek Safe Harbor.
Tara
Posted: Fri Feb 19 5:28:41 2010
Insider buying creeping up. It's the CFO this time around:
Intema Solutions Inc. (ITM) As of February 18th, 2010
Feb 17/10 Feb 16/10 Ravary, Pierre Direct Ownership Common Shares 10 - Acquisition in the public market 100,000 $0.030
Tara
Posted: Thu Jan 7 10:03:12 2010
Another acquisition, adding to the revenue stream and allowing to better absorb fixed costs.
Intema Solutions to pay $600,000 for Webcom
2010-01-05 16:35 ET - News Release
Mr. Pierre Ravary reports
INTEMA SOLUTIONS (ITM.V) ACQUIRES GROUP EVENTIA, PRODUCER OF WEBCOM MONTREAL CONFERENCE AND RECRUITS ITS PRESIDENT, MICHEL CHIOINI, TO HEAD INTEMA'S NEW VENTURE, AN INTERACTIVE AGENCY
Intema Solutions Inc. has come to an agreement on the terms for the acquisition of all the assets related to the Webcom Montreal conferences and all the rights for the International deployment. This agreement is subject to approval by the authorities and a conclusive due diligence.
The total agreement of $600,000 includes a $300,000 debenture for the vendor and an equivalent amount to be paid over a 24-month period. Along with sales revenue increase, this transaction will enable Intema to enter the lucrative interactive communications market, with an impressive knowledge of the needs and behavior of this sector. Last October was the seventh edition of Webcom Montreal, with 55 renowned speakers and over 600 participants. Webcom is the only activity of its kind, in Canada, to target decision makers and professionals of the Internet and Intranet market, for both internal and external communications. Eventia, in the year that ended Dec. 31, 2009, generated $430,000 in revenues, a growth of 33 per cent compared with the 2008 revenues totalling $322,000.
This agreement brings Michel Chioini into Intema's team. Mr. Chioini will take on the development of the new agency division of the company. After sharing the ideas and concepts of industry leaders, Mr. Chioini has come up with the concept of the new agency of the future. He will bring to life the business plan to the advantage of the shareholders of the company. This new agency will be a modern and adapted solution to the problems companies face with their traditional advertising agency. The agency will fit with Intema's solution by merging technologies, marketing and creativity.
"Having convinced Michel to join our team makes us proud. His concept of the new agency fits perfectly with our views on the future of marketing and communications. We are now in the position to offer one of the most talented team to our present and future clients, with some of the most performing tools on the market," stated Roger Plourde, president of Intema.
"It is a real pleasure to join Intema's group. The objectives and the vision of its management team are well aligned on the market needs and my objectives, as the leader of this new venture, will be to grow the company and consolidate its business plan with other companies sharing our vision, our transparency and our open mind," stated Mr. Chioini.
• Intema hires a CFO
• Intema obtains 1.2M$ financing, no dilution to shareholders
• Intema is trying to accelerate payments for its previous C2 sale
The link for the press release is here:
http://www.stockwatch.com/newsit/newsit_newsit.aspx?bid=Z-C:ITM-1631476&symbol=ITM&news_region=C
Sandy
Posted: Tue Mar 10 14:59:47 2009
Hello Tara,
Interesting perspective…
For the record, Intema did not need any cash to acquire Groupe XiV (and Iguana). They had an agreement in principle; Intema took over management of the Groupe XiV at the NetMarketing offices, and put a lien on Groupe XiV assets. Intema negated on the initial agreement and when Groupe XiV finally ran out of resources and could no longer afford legal counsel to defend themselves, Intema claimed to have invested into Groupe XiV and swooped up the assets.
It would be interesting to hear the truth about Globeecom; apparently that was not a simple transaction either.
The agreement that Intema has recently reached with Komunik Konversation division seems to have been a cash settlement; wise on the part of Komunik Konversation division. I hope it is signed, sealed and delivered…
I claim to know very little about the stock market and shares. However, I do know about integrity.
But then again, maybe integrity and business success are two different things!
Sandy
Tara
Posted: Wed Feb 18 13:13:46 2009
Intema is very active and aggregating several entities under one hat. By browsing several website, one can easily see the new ties and links forming the Intema (ITM.v) umbrella
• www.globeecom.com , which operates Globe Meeting is now showing on the Intema website as one of their offering, see the following links
• Website creator “Iguana Web” is now linking back to NetMarketingSolutions, the heart of Intema. See the link below
http://www.iguanacms.com/index.htm
Tara
Posted: Fri Feb 6 4:43:32 2009
Intema (ITM.v) is wasting no time, as they made an agile manoeuvre of revenue swap.
• C2 had 2 to 2.5M$ revenues, sold for 1.55M$;
• The Komunik Konversation division had 2.5M$ of revenues, bought for 400k, major customers are Ikea, Rona, Fido, L'Oreal, and ING Direct;
• This provides equivalent revenue stream, but leaves 1.1M$ cash in the bank (0.043$/share), and reduces R&D going forward;
MONTREAL, QUEBEC, Feb 03, 2009 (MARKET WIRE via COMTEX News Network) --
Intema Solutions Inc. (TSX VENTURE: ITM) today announced the acquisition of Komunik Koversation, a leader in developing turnkey relationship marketing solutions. Valued at $400 000, this transaction is an all cash deal and will increase Intema's revenue of $2 500 000.
For the full press release, see the following link:
http://www.stockhouse.com/tools/?page=%2FFinancialTools%2Fsn%5Fnewsreleases%2Easp%3Fsymbol%3DV%2EITM%26newsid%3D7200622
Tara
Posted: Tue Feb 3 4:02:47 2009
The company is now called INTEMA, trading under ITM.v
My analysis of the situation (just my perspective)
1) Breakup value of company • C2 was sold yesterday for 1 550 000$ in an all cash transaction (was profitable 7 of 8 quarters in 2007-2006)
• NetMarketing acquisition was concluded recently, evaluated by a third party at 2 350 081$ (was profitable 6 of 8 quarters from 2008 Q3 to 2006 Q4)
• empty shell trading on the venture exchange is worth about 300 – 500k
Thus, approximate breakup value of the company right now: 4.2M$ or 0.16$/share based on 25.6M shares outstanding (long term debt are minimal at 127k)
2) Acquisitions pending in the wings: From march 2008 documents available at Sedar, it was said Intema was contemplating two other acquisitions:
• Globeecom
• XIV
3) What will the 1.55M$ cash be used for? Thus one would be tempted to extrapolate that by selling C2, they will use the cash to complete either one of the above, Globeecom being the most probable, for an undetermined price, as they already sunk 500k into it.
4) Share structure • Plourde was given 12M shares for the acquisition of NetMarketing solutions, and it was said he owned 8% of the CPL float prior to the transaction (1M shares); total 13M shares approx.
• Yvan Charron: about 1.3M shares
• Jean-Claude Desaulniers about 1.8M shares
• Stephane Lauziere: about 1.7M shares
• other directors: about 460k
• Shares held by brokers, family/friends, etc. is unknown
Total insider ownership = 18.3M share ( or 71% of the 25.6M outstanding )
Conclusion: trading at 3.5 cents with breakup price of 16 cents, with 71% held by insiders leaves plenty of margin for price appreciation. And don't forget they hired an investor relation firm called Groupe Evolutions ( http://www.evolutiongrp.com/ ).
P.S. The above is simply my personal understanding and not to be construed as investment advice. I’m not a broker, promoter, director, manager or employee of the aforementioned company, just a shareholder. Do your own due diligence.
Tara
Posted: Mon Feb 2 11:05:40 2009
Intema Solutions inc. announces sale of its C2 Entreprise software asset.
Montreal, Quebec, February 2, 2009 – Intema Solutions inc. (TSX-V: ITM) announces concluding today an agreement to sell C2 Entreprise, a help desk software. The all cash transaction valued at $1 550 000 was concluded with an ex director of the company. Intema keeps a valuable OEM, royalty free license as well as the source code for future integration of the software to its other solutions.
Note: this transaction alone adds 6 cents per share of cash on the books.
Tara
Posted: Fri Nov 14 6:13:27 2008
Finally, the regulatory hurdle is overcome, the new CEO now owns more than 12M shares and is motivated to see the share price reflect somewhat of a more reasonable valuation ( the market cap today is about 500k, which barely reflects the value of an empty shell trading on the venture exchange ).
CPL Technologies acquires NetMarketingSolution.com
2008-11-12 15:41 ET - News Release
Mr. Jean-Francois Bouffard reports
CPL TECHNOLOGIES CLOSES ACQUISITION OF NETMARKETINGSOLUTION.COM INC., A SOFTWARE DEVELOPER AND MARKETING SERVICE PROVIDER
CPL Technologies Inc. has received all required regulatory approvals to complete the acquisition of NetMarketingSolution.com Inc., a company dedicated to integrating technologies in marketing activities. The transaction was closed on Sept. 29, 2008.
The transaction was completed as previously agreed and, therefore, NetMarketingSolution.com's shareholders receive the amount of $2,350,081, payable through the issuance of 12,051,699 CPL common shares at an issue price of 19.5 cents per share.
Following this transaction, management was reorganized and Gerard Lallemand became chief financial officer. Mr. Lallemand is an experienced professional, having served as controller for serveral companies over the years. Until now, he was controller of NetMarketingSolution.com. He will preserve continuity in the integration of the financial activities on NetMarketingSolution.com with CPL.
We seek Safe Harbor.
Tara
Posted: Fri Sep 5 7:31:14 2008
CPL hires Evolution to design communications program
2008-09-04 16:17 ET - News Release
Mr. Roger Plourde Bouffard reports
CPL TECHNOLOGIES INC. RETAINS EVOLUTION GROUP INC. TO DESIGN AND IMPLEMENT ITS FINANCIAL COMMUNICATIONS PROGRAM
CPL Technologies Inc. has retained the services of Evolution Group Inc. to assist the company in designing and implementing its financial communications strategy.
Evolution Group is a well-known financial communications firm with a working approach that consists of designing and implementing comprehensive, reliable communication strategies. The experience and know-how of its members in the area of securities and financial communications allows Evolution Group to oversee, to advise and to represent public companies in their day-to-day stock market activities. The president of the group, Sylvain Archambault, who has over 13 years of experience in this area, believes that the success of a public company relies on the fact to precisely identify the targeted clientele, communicate with it and keep it well informed. Mr. Archambault considers that the key to the success of such a mission is a comprehensive, targeted communications strategy.
"Given the potential of our current and planned research and development activities, the time has come to prepare for timely communication to a wider audience of the progress of CPL Technologies in meeting its business objectives," said Roger Plourde, president and chief executive officer of CPL Technologies. He added, "We look forward to providing corporate updates to our shareholders over the coming months, reporting on our progress in our various business activities."
In his comments, Mr. Archambault, president of Evolution Group, said: "We are pleased to have been selected by CPL Technologies to represent the company to the financial community. We believe that CPL Technologies is a business enterprise with great potential, thanks to the quality of its projects, of its financial and strategic partners, and of its highly regarded executives. We are confident of our ability to help CPL Technologies increase their visibility by setting up and implementing a communications plan that will reflect that potential."
In consideration of the services rendered, CPL Technologies will pay a monthly fee of $3,500. Additionally, Evolution Group will receive 100,000 options to purchase 100,000 common shares of CPL Technologies at a price of 20 cents.
We seek Safe Harbor.
stocklad
Posted: Sat Aug 30 8:12:53 2008
Sandy: Since the Intema (CPL's proposed new name) website is up and running, I assume that all resolutions passed yesterday. Am I correct in this assumption?
The website looks good, although it could use a grammar check.
I hope that Intema will now focus on doing business in their new niche, as well as in their older one. It was a little disheartening to see them let things slide for so long while they arranged for the acquisition.
All financials were in considerably better shape a year ago than they are today. They've go a lot of work to do to turn things around.
Sandy
Posted: Tue Aug 12 18:42:45 2008
CPL Technologies filed a Management Information Circular on SEDAR August 1. Last week my company, owner of Groupe XiV and creators of IGUANA, served CPL with a Superior Court lawsuit; a motion to execute the transaction according to their promise to purchase, that was signed in August 2007. Had the deal been finalized within the allotted timeframe, I could now be a major shareholder in CPL shares. A very important shareholder meeting is scheduled for August 29, 2008 and one important item in the agenda is shareholder approval for the purchase of NMS by CPL.
Sandy
Posted: Fri Jul 18 11:34:01 2008
Tara, IGUANA is an impressive, user-friendly content management system. However, the success of IGUANA is directly related to the company selling and managing it. Customer service and product evolvement are essential and this remains to be demonstrated by NMS/CPL.
Tara
Posted: Fri Jul 18 9:06:36 2008
Sandy, since you have some involvement, perhaps you can provide details(current customers,etc.) on the press release issued on july 9th from www.Netmarketingsolution.com , about www.IguanaWeb.ca
If the acquisition(s) are accretive to earnings, the effect will/should be positive. However, should the contrary happen, I think one will have to arm himself with patience.
Sandy
Posted: Thu Jul 17 13:08:51 2008
I have very little experience with the stock market, but I am definitely interested in the activities of CPL shares. I have much to lose, or much to gain from it. Actually, there is at this time, more than just the one company being proposed. Could the outcome of these two other companies effect shareholder opinion, and the value of shares?
dundee
Posted: Thu Jul 3 22:35:24 2008
Just some quick thoughts and questions from a look at the most recent financials (by no means a thorough analysis):
- I don't like the slow receivables turnover rate. Current (Mar 31/08) A/R is $556K which is greater than sales for Q1. That means that average reveivables turnover is very slow at more than 90 days. This always concerns me as it is generally unhealthy. It would be worth it to at least examine the trend of receivables turnover to make sure there is no deterioration that could suggested receivables writeoff risk.
- What are the "Other receivables" on the balance sheet? $609K!
- I don't really like to see long-term debt that is not backed by tangible capital assets.
I will take a closer look when time permits.
Tara
Posted: Thu Jul 3 20:53:39 2008
Stocklad,
Allow me to thank you for your reply and thoughts on the company.
I hear your concerns, don't know what your average price is though.
CPL's Q1 was profitable, and 2007/2006 were both profitable for the proposed acquisition. Stock is trading below book value which does not invoke much goodwill. An insider just purchased 300 000 shares at 15 cents, which is more than double my average price. And he did so on june 10th, after the halt. I guess you could say those were the underlying foundation which motivated my purchase and hope for a quick rebound on the stock chart.
stocklad
Posted: Thu Jul 3 20:25:48 2008
Tara: I've owned this company for a while. It once had a decent business model and reasonable growth. The price appreciated nicely. Then, the president sold his shares to a third party, who became president and proposed to buy three companies, one of which he owns most of the shares of. The stock was halted while the deals were being negotiated. It seems that so much effort was put into the deals that the company lost some focus on its core operation, and sales slid.
After all of that, only one deal is being proposed at this time, that being the one that is essentially between the company and the its new president. That deal is to be an all share transaction, the result of which will give Mr. Plourde effective control of CCY.
Provided below are the comments I posted on StockHouse some time ago about the deal. I apologize for the "attitude" but, at the time, I was of the opinion that the new management should have proceeded directly with a takeover as opposed to this back door approach. I have not seen anything since which would change my mind. BTW, no shareholder vote has been held on the deal as of yet.
The stock price is probably too low, but it's hard to know. It might take quite a while for the company to re-achieve focus and resume a growth trajectory, if that's even possible. Regardless, here is the posting:
The old CPL had a nice niche business with decent growth and profitability. Because of the change in corporate management, sales and earnings eroded while the organization focused more on the acquisition(s) and less on the core business.
Seeing this did not make me a happy shareholder.
Now I see that the year-to-date revenue growth of the proposed target was just 1% and that its earnings over the period were in fact negative.
This does not make me a happy shareholder either.
And, I see that we are almost doubling the share count to buy a business with about half the sales of CPL.
And, it looks like the new CEO and the newer VP of CPL are related.
I'm not happy about those two things either.
Add to that the fact that I'm not enamored of internet marketing businesses and you can see why I'm not crazy about this back door corporate takeover. I think the preferable way to acquire CPL would have been to make an offer for all the shares at a reasonable price, and not to acquire some shares, take over the management of the firm and essentially propose a non-arm's length transaction with yourself.
The only bit of good news is that the majority of the disinterested shareholders must approve the deal. The acquisition details, when provided to shareholders, will have to be compelling before I'll vote my shares in favour of the deal. Right now, I see no reason to do so.
Anyone else have any preliminary thoughts?
Tara
Posted: Thu Jul 3 8:46:57 2008
CPL Technologies (CCY.V)
Roger Plourde, President and CEO
Telephone: 1-866-978-1200, ext. 1218
E-mail: rplourde@cpl-inc.com
CPL Technologies Inc. is a recognized leader in request management solutions and has produce
the leading Helpdesk and Customer Service Solution C2 Enterprise. Its client portfolio includes renowned companies such as Ubisoft, CGI and Orange Mobile, among others.
The pros
- Insider buying 300 000 @ 0.15$ in june 2008
- Book value of 0.085$/share (before the acquisition)
- Market cap hovering around 1M$ with 2.3M$ annual sales at roughly 80% gross margin
- Positive cash flow from operations
- Positive working capital of 250k
- Long term debt of only 369k
- Positive net earnings in Q1 ( +.003$/share )
- Have not seen any lawsuits pending
- 13.6M shares outstanding (25.6M after the upcoming acquisition)
- Insider ownership was about 37% prior to acquisition, but after the acquisition, the CEO Roger Plourde will own the majority
- Intangibles of only 6k
The cons
- Illiquid
- No investor relation exposure yet
- Acquisition still up in the air
What makes this company interesting in my opinion?
Recently reinstated for trading after a long halt due to pending acquisition of Netmarketingsolution.com. The purchase price for the shares of Netmarketing is $2 350 081 by the issuance of 12 051 699 common shares in CPL at 0,195$. This targeted firm belongs to the CEO and was profitable in 2007 and 2006. The halt has exasperated a few shareholders now ready to unload during the summer doldrums, which provides good bottom fishing opportunities. Of course, more details on the acquisition is needed and should be available soon. My sensitivity analysis goes like this
• Float after acquisition = 25.6M
• 250k of net profit = +.01 EPS
• a conservative 10x EPS ratio = 10 cents price for each .01$ of EPS
P.S. The above is simply my personal understanding and not to be construed as investment advice. Do you own due diligence.
