Redwood Group International (RDWD)

[The Rainmaker]

SIVC Valuation.... how this will be a .10 per share stock

Per pinksheets.com
Common Stock:
O/S: 341,447,825 (as of 8/27/2007)
http://www.pinksheets.com/pink/quote/quote.jsp?symbol=sivc

650 million shares OS would be much closer after last years fund raising SIVC had to do to close the ENHD deal. Happily no dilution since January when Kensington Cross agreed to fund SIVC for all 2008 Expenses.

February 5, 2008 - 10:00 AM EST

S3 Investment Company Secures Full Operational Financing for 2008 and Implements Strategy for Re-Listing on the OTCBB
S3 Investment Company, Inc. (PINKSHEETS: SIVC), a holding company with two subsidiaries doing business in the China market, today announced that it has received a financing commitment, which results in the S3 being fully funded for 2008 and is implementing a strategy by which the company will apply for reinstatement to the Over-the-Counter Bulletin Board (OTCBB) market. The funding covers all corporate expenses for the 2008 calendar year and would eliminate the need for any equity transactions to finance S3 operations for the year.

As part of the financing terms, S3 will complete the audited financial reports required to file for an OTCBB listing. The audited financials to be filed are expected to include annual reports for the 2006, 2007 and 2008 calendar years.

"We are pleased to have received the financing commitment that will cover all corporate expenses for 2008 and eliminate the need to use S3 stock as a funding resource for the year," stated Jim Bickel,

650 million shares OS at .004 per share
2.6 million dollar market cap.
Just the value of SIVC's 428,000 shares of ENHD are worth 2.6 million dollars.

That's the simplest way to show anyone how undervalued this is.
What about value to SIVC's market cap for the other three deals in their pipeline.

Each closed deal should add around .004 in value to SIVC.
That's dollar for dollar which means we're only giving value to SIVC on a dollar for dollar basis tied to the value of the shares they own in other companies.

Public companies trade in multiples of this dollar for dollar valuation. 2 times or three times the value of the shares they own is a better valuation.

So four closed deals by end of year. .004 times 4 = .016, valuation multiple of 3 gives me .05 per share price. Now throw in uplisting to otcbb by years end and now you get .08-.10 per share.

Redwood Capital has three current Chinese private company clients, Changzhou Haijie Metallurgical Machinery Manufacturing Co. Ltd., Wuhan International Trade College, and Shandong Yiteng Chemical Co., Ltd. Given the company's goal to complete one reverse merger transaction per quarter, Redwood Capital will continue to target and evaluate additional potential clients. The company's extensive network of contacts and the bourgeoning business landscape in China provides abundant deal flow for Redwood Capital.

These numbers don't factor in the dividend buying craze that will hit when they announce the date for first share dividends. Or the craze that could hit if ENHD shares go over $20 per share. Then we could see much higher.

"Management continues to work on the details of the plan to dividend shares of the stock of Redwood Capital's reverse merger clients to S3 shareholders of record at a future date. The company continues to explore all options in this regard with its SEC counsel, and we will discuss the plans to implement such a dividend as soon as possible. We must ensure that all of the appropriate steps are followed and that all potential legal and SEC compliance issues are addressed."