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CHINA DEAL IN THE MAKING WILL BRING BIG BUCKS TO MEDIAG3
As per pinksheets.com looks like MDGC had naked short selling. and shares shares are shorted and will have to be covered!
http://www.pinksheets.com/pink/quote/quote.jsp?symbol=mdgc
SHO History Date Reg SHO Threshold Flag Rule3210 Flag
Jun 19, 2009 Yes No
Jun 18, 2009 Yes No
Jun 17, 2009 Yes No
Jun 16, 2009 Yes No
Jun 15, 2009 Yes No
Jun 12, 2009 Yes No
Jun 11, 2009 Yes No
Jun 10, 2009 Yes No
Jun 9, 2009 Yes No
Jun 8, 2009 Yes No
sold today for a profit they could have showed the court they have the money unless they dont. moving on to more liquid and better plays.
i hope soo.
i hope so own at .05 and sellers seems to be in force?
why is the share price not confident this is going to happen?
And?
has anyone spoken to the company lately?
This is why buy:
issued one year ago, all that was planned has been done, keep doing research on this baby. the more i look
into this the better it looks. India is the New china:
http://www.sricon.in/
http://www.technibharathi.in/
About
India Globalization Capital, Inc. (IGC) was incorporated in 2005 and is based in Bethesda, Maryland. IGC controls two infrastructure companies: Sricon Infrastructure Private Limited ("Sricon") and Techni Bharathi Limited ("TBL"), both in India. IGC was formed to acquire operating businesses located in India through merger, capital stock exchange, asset acquistion or other similar business combination. IGC has three core competencies:
Highway and other heavy construction;
Mining and Quarrying;
Civil Construction and engineering of high-temperature plants.
IGC is the only Indian infrastructure company listed and trading in the United States.
IGC Businesses
Sricon Infrastructure:
An Infrastructure development company based in Nagpur, Maharashtra
Engaged in Civil Engineering construction activities since 1974
Qualified to bid on contracts up to $116M per contract.
Operates 5 quarries (for construction aggregate)
Techni Bharathi Ltd. (TBL):
Engages in national infrastructure development in India: roads, tunnels, canals, bridges, airport taxiways and dams, hydro power generation.
Incorporated in 1982; located in Kerala, India.
India Globalization Capital (IGC)
1/10/2008 | Long/Short Equity
Submitted By: Yaser Anwar
Idea:
Long India Globalization Capital (IGC)
• Synopsis: IGC is paying 50 % or less for the real value of its targets, which the targets accept because IGC's investment gives them the potential for better business opportunities and greater personal gain through management incentives (achieving 85% of targets, as required for pro rata incentive compensation clause).
• India today, with its rural isolation and cities separated from many parts of the country like islands, is a bit like the US in the 1920s and 1950s, when it spent dramatically on the national highway and interstate systems.
• According to World Bank: Lane capacity in India is insufficient and most highways have two lanes or fewer; 70% of India's population lives in rural areas, and 40% of villages do not have access to all-weather roads, leaving them isolated during monsoon season; and currently, only 1/3rd of routine road maintenance needs are being met.
• The Indian govt. has announced US$ 475 bn in infrastructure by 2012 including US$ 40 bn for highways, $ 160 bn on power and other similar projects. The Indian government says that 55% of the country’s population has no electricity in the face of potentially explosive demand growth. Per capita electricity consumption in India is 585 kilowatts per yr vs. 1.35K in China vs. 12K in the US and worldwide average of 2.4K. The govt. projects a need of 68.5K more megawatts of power by 2012 with estimates of only 27K MW to be added through ongoing and planned projects.
• IGC has signed three agreements to acquire companies or partner with them at a discount to public market prices: Sricon, Techni Baharthi Limited (TBL), and Chiranjjeevi Wind Energy (CWEL).
• All three deals are in areas of huge expenditure by federal and local governments in India, and two of the companies could reap even larger profits with cash to improve their balance sheets. In two cases then, IGC is a public company acting as a private equity firm, injecting cash and incentivizing management to achieve greater efficiencies and growth.
• The margin of safety is strong and potential return quite high. The confirmed backlog alone for Sricon and TBL all but guarantees a certain level of performance and higher valuations when combined with IGC's infusion of cash and the resulting improved financials and lower cost of capital.
• In sizing up prospective investments, IGC management insists are finding companies with years of operations, committed family ownership, strong experience and backlogs in long-standing, core, essential markets targeted for vast increases in govt. spending and deregulation.
• According to Prime Minister Singh India needs US$ 150 bn in FDI over the next years to fund these needs and faces a significant shortfall. In light of the shortfall, India has developed very foreign investor friendly rules to attract FDI in this sector. My previously highlighted high conviction buy, Cheung Kong Holdings, is one of the firms bidding in the BOT (build, operate, and transfer) program by the government in response to a 24 bn shortfall in new road construction.
• Under the BOT program, the National Highway Authority of India identifies potential toll roads and puts them out for bid. The winning bidder then builds and collects tolls for 15-30 years before transfer. Sricon has already completed a BOT project and is pre-qualified to bid on more, and TBL has years of experience in all types of road and other infrastructure engineering.
• IGC is acting as a private equity firm for Sricon, injecting cash and bringing operating improvements in three main ways:
a) Sricon does not have the cash to gain favorable pricing from vendors- it can't pre-pay and apparently doesn't always pay vendors on a current basis. IGC believes that its cash investment will give Sricon the ability to get better materials pricing and gain five percentage points in margins.
b) With IGC's cash, Sricon can buy equipment that it currently must lease. Vertical integration should add three more percentage points to margins.
c) Finally, Sricon's current debt service is at 13.5%! Due to the improved balance sheet, IGC sees an improvement down to 9%. Reducing the cost of capital should bring margin improvement of 5-7% percentage points.
• Overall, IGC projects Sricon's net margin to rise from 3-5% to 14-18%. Please look at these numbers from the form 14A filed by IGC:
• What would you pay for a company whose confirmed backlog will lead to a tripling of revenues and for whom additional capital will bring improved operating and net margins leading to a gain in net income of 13x?
• Considering that Sricon management agree to the targets by contract there must be something to them; they should know their businesses best and have a fairly high level of confidence in their ability to achieve these results. Plus even if they achieve just 85% of the targets (as required for pro rata incentive compensation), investors will benefit.
• Valuation: IGC is paying $28.75 million for 63% of the company, giving Sricon a post-acquisition value of $45.6 million. The following table provides a combination of management's analysis for Sricon and my view of what it makes for valuation:
• PE is not my favorite metric, but in the absence of many years of reported free cash flow, we can use it here to give us a range of outcomes. Sricon could still provide excellent value creation even if it comes up short of IGC's estimates.
• Remember that it's not just wishful thinking that revenues at Sricon will triple in FY 2008. The company has a backlog of almost 20x its 2007 revenues. Cash from these projects can be realized without any improvement in finances or additional contracts. Once you accept that, you still have to overcome the hurdle that net income will explode 13x.
• Assume that IGC is able to help Sricon achieve net margins of 14-18%. Applying 16% right down the middle to the $33 million in revenues projected for 2008 gets you there. Add a reasonable multiple on those earnings and voila, you're at Table 2's 428% to 533%!!
• You may ask, "How do we know that the acquired companies won't just commit US-style accounting shenanigans to reach these lofty targets?" Because IGC has the contractual right to appoint all of its targets CFOs to enforce requirements of US accounting and reporting standards. And all of IGC principles have strong financial backgrounds and credentials to bolster their scrutiny.
Moving on to the next deal- TBL
• Founded in 1982, Techni Bharathi Limited (TBL) offers a wide range of infrastructure services, including highway, railroad, and other heavy construction, as well as civil and engineering works for power plants, tunnels, bridges, airports, and dams.
• Like Sricon, TBL has a history of successful projects for a long list of government clients. TBL founded and grown by V.C. Antony, who also founded a company in 1976 that became one of the top 10 construction firms in India. In 1997 he retired as TBL's MD, turning over operations to his son Jortin.
• A huge difference between TBL and Sricon is that TBL is an engineering firm, providing intellectual capital, while TBL has salaries, of course, it does not need to buy heavy equipment, as Sricon does.
• Short-term margin expansion: As with Sricon, IGC sees immediate margin expansion due to improved finances, lifting net margins from 3-5% to 13-15%. This is expected to produce the following numbers for 2008 and 2009:
• As with Sricon, TBL management's incentives are based on these numbers and IGC has the right to appoint the company's CFO. Also, management received incentive shares pro rata for reaching 85% of the targets.
• Valuation: Through two transactions involving common and convertible shares, IGC has offered $12 million for 77% of TBL on a fully diluted basis, constituting a post-acquisition valuation of $15.6 million, and has offered $8.9 million for 74% for a post-acquisition valuation of 12 million.
• The following table uses the $12-15.6 million range valuation range, assuming that both transactions occur and that convertible shares are converted.
• Again, you'll note that even if IGC comes up short, there is plenty of room for excellent returns, making it a multiple-bagger in Peter Lynch's terminology.
Moving on to the last deal: Wind Energy Limited
• After meetings with Chiranjeevi Wind Energy (CWEL), IGC decided it wanted to own its own wind energy farm and sell the electricity. It solicited bids to construct a farm and found that CWEL's bid was 25% to 30% below competition. CWEL's CEO has 15 years of experience in the manufacture, assembly, installation, and maintenance of Wind farm equipment. The CWEL project manager for the IGC wind farm installation has years of experience following training in Denmark, the country with the world's largest concentration of wind energy.
• Where the first 2 targets are amenable to some traditional and clear valuation metrics, this one is not an acquisition and requires different thinking (IMO). CWEL's acquisition price: 28.5 million, projected first-year revenues $4-5.5 million and EBITDA of 4.3 mn, and EV/EBITDA of roughly 6.6
• These numbers include the expected sale of the wind farm's carbon credits, 70-80% debt financing, and delivery of a complete turnkey operation. They also assume a far lower EV/EBITDA multiple than any of comparable farms IGC studied in North America, France, and New Zealand.
• IGC's Form 14A states among other things that CWEL's incentives include the potential for more IGC projects if the farm is successful. For now let's say that IGC is likely to acquire an asset using 70-80% financing that will produce high margin revenue and is worth more than the cost. And it is doing so in a country with many established wind farms, with a company that has produced many wind farms, in a region with high wind energy raw material and where electricity is in sever shortage.
• In conclusion, should IGC complete all three deals, we're paying 50 cents or less for $1 or more worth of assets. TBL and Sricon's backlogs along give us a deep value margin of safety. IGC issued warrants in connection with its IPO on March 8, 2006. Each warrant entitles the holder to purchase a share of IGC for $5.
• Total institutional ownership is around 60%, including 7.6% stake owned by renowned value investor Seth Klarman of Baupost Group.
• Main catalysts and risks: IGC operates much like a private equity firm, so completion of deals is a main catalyst. As we've seen with Chueng Kong Holdings, for conglomerates to sport valuations that reflect the sum-of-their-parts, they must buy cheap and sell high. IGC will need to consider a myriad options for returning value to shareholders, such as dividends, spin-offs, buybacks et al.
• Hence, there is execution, acquisition related risks, but also the political environment in India. Though I wouldn't be worried about the politics because so far India has been remarkable in that aspect- see this latest Bloomberg article.
Ram Mukunda, CEO of IGC interviewed on Steve Crowley's American Scene Radio Show on June 4, 2009 at 10:24 a.m. EST. The interview can be heard live on BusinessTalkNetwork affiliate radio stations streamed on its website
www.businesstalkradio.net.
for those who missed their was news on igc today India Globalization Capital Secures $2.6 Million Iron Ore Contract
Establishes Presence in Chinese Iron Ore Market
IGC if you work the numbers hard to believe but the price can fly to $25.00 from its undervalued price of $1.50 The numbers are real and growing bigggggggggggg.
NEWS LOOKS LIKE WERE MOVING FOWARD: Cobalis Announces New Toll Free Order Number 1-877-4POLLEN and All Major Credit Card Merchant Processing for PreHistin Allergy Relief Sales at www.PreHistin.com
MY FAVORITE WHY BUY ONLY MY OPINION I MAY BE WRONG THIS IS NOT A BUY OR SELL RECOMENDATION ONLY AN OPINION!TICKER: IGC
READY FOR THIS ONE
Shares Outstanding5: 10.09M
Float: 7.50M
SNAP SHOT: COMPANY LOW LOW SHARE STRUCTURE
AMEX LISTED OVER $382 MILLION BACKLOG WORK
OVER 327 MILLION IN POSSIBLE NEW WORK. SETTLEMENTS IN
THE MILLIONS LOW DEBT JUST EXPAND WITH NEW REVENUE
Mining & Materials Segment Completes Preparation Needed to Export Iron Ore
GOING TO BE PART OF INDIAS 500,000 BILLION THATS HALF A TRILLION
BUDGET TOWARDS INFRASTRUCTURE
The contract, which will commence in early 2009 and continue for a
period of three years, increases the Company’s backlog to approximately $382 million
from $366 million.
Ram Mukunda, CEO of India Globalization Capital, commented, “Since we
consummated the acquisitions in March of 2008, our Indian companies have been
awarded an impressive $140 million in new infrastructure contracts. We continue to be
aggressive in pursuing new contracts and we are currently pursuing approximately $327
million worth of new contracts, which if we are successful in winning, would
dramatically increase our projected revenue and earnings for the years ahead.
- India Globalization Capital's Mining & Materials Segment Completes Preparation Needed to Export Iron Ore
- India Globalization Capital (IGC) Wins $2.2 Million
Arbitration Award
An Additional $22 Million of Similar Claims are in Process.
For the nine months ended December 31, 2008, IGC reported revenue of approximately
$32 million; net income, before one-time expenses, of around $ 600,000, and EPS, before
one-time expenses, of around $0.16 (EPS).
Ram Mukunda, CEO of IGC interviewed on Steve Crowley's American Scene Radio Show on June 2, 2009 at 10:54 a.m. EST. The interview can be heard live on BusinessTalkNetwork affiliate radio stations streamed on its website www.businesstalkradio.net. You can find local radio stations by accessing the website.
To me this is a $30 stock based on all their numbers
at $1.50 may sound like hype but look close at this company
just my opinion. i think i found a diamond here. any opinions.
ticker: IGC
IGC Releases Record Revenue Numbers
October 23rd, 2008 •
We have a great profitable company for you today. India’s economy is projected to become the third largest in the world, and the Government of India (GoI), expects to spend $475 billion on infrastructure by 2012. The GoI is providing business incentives and tax incentives to build out the Indian infrastructure over 10 years, as well as the privatization of certain key assets including highways, airports, sea ports, power plants, etc. Reflecting India’s push to build out its infrastructure, IGC has an order book of $382M and $350M in ongoing bids. Within the next four months, the company expects to increase its order book to upwards of $700M. IGC is one of the few ways to invest in Indian infrastructure being the only Indian infrastructure company listed in the United States of America.
LOOKS LIKE WE WILL BE A VIABLE COMPANY VERY SOON GREAT LOOKING WEBSITE, PROFESSIONALLY DONE AND PRODUCT PACKAGING LOOKS GREAT
whats going on?
i agree seen some flags gone up so i sold for a profit and will be on sidelines from here on out.
amazing opportunity like this is rare in pennyland. this ceo is real all bluechip background this new company will have over 10million plus in just assests and contracts to follow gobaby goooooooooooooooo doesnt matter about this penny flippers they will be kicking themselves when all these great things happen
why settle for pennies when you can get dollars?
This CEO is for real: Linda Perry
President, Chief Executive Officer and Director
RTG Ventures, Incorporated
New York , NY
Sector: SERVICES / Sporting Activities
Officer since April 2006
48 Years Old
Ms. Perry has served as our President, Chief Executive Officer and a Director since September 1, 2003 (excepting the period from April 19, 2005 to April 24, 2006). She has had an extensive career in global and entrepreneurial businesses. As Chief Executive Officer and a Director of Far East Challenges, Plc, Ms. Perry, in conjunction with the shareholders, led the strategic development of RTGV's current enterprise. From 2001-2002, she was the senior advisor to the Board of Directors of The Balli Group, Inc., where her role was to integrate the acquisition of Klockner & Co. The acquisition resulted in the creation of the world's largest steel, multi-metal, distribution and trading company. Between 1999-2001, she was appointed a director and a member of the Executive Committee of Churchill Insurance Group, Plc. a division of the Credit Suisse Group. Ms. Perry was President of GWR Enterprises, Inc., from 1997-1999, focused on new business opportunities through private equity and special situation investments. She was a Senior Executive at Exxon Corporation (NYSE XOM) holding general management positions in finance, marketing and organization (including corporate governance, management succession, and executive compensation) with worldwide responsibility, from 1983-1996. Ms. Perry holds a Masters in Business Administration (MBA) from Harvard University. She has been a visiting lecturer/professor at IMD, Lausanne, Switzerland, INSEAD, Fontainebleau, France and the Stern School of Business at New York University, throughout her career
coulsnt resist bought more, like the ceo running this like a blue chip!
they are still working on the details but we should be stronger and ready for growth, and revenues in the millions and a higher pps, and support
they will issue us shares in the traded occbb company
ok, in at .05
you are correct, looks like mdgc will become a clean shell and we will get a nice share in the new otcbbmkt co.
it is undervalued, but moving now to higher exchange will help bigggggg time. MM and other backers once the move is done! its simple being on pink sheets theirs not enough support this move will help! no doubt we are undervalued big time! look at my history i had a stock ctei at .005 now months later its .55 same issue but went from pink to otcbb. we need MM support and thats what this is going to do! 500,000 plus moved this maybe whoever was looking to sell is finally out total trade value is approx $3,500 thats gambling money not serious trading. I say the next 90 days should be intresting
i might add more myself. the company looks like its getting stronger from more board members to more alliances! and once this deal is done more revenues and partners. im looking at this from every angle! one thing im sure of is the company is determined to get the company moving foward and postion it for the future. The china deal in 2010 will be bigggggggg revenue in addition revenues that this new deal is going to bring
ok, my take im not too concern about sell off! the company is progressing my only concern is the new deal of how its going to effect my shares and investment value - but all positive the new co. will have other revenue from my understanding and more assets and value. its a good step foward!
Undervalued? close to 400,000,000 million in revenue no debt alot of cash, and profitable!
from what i understand is they are working on it now. trying to keep it a 1-1 deal per company this should solve alot of
liquidity issues, higher exchange, MM , more visability, all other aspects of company are moving along towards thier goal and some positive developments to be announced soo.
has anyone spoke to the company?
Westeffer i read a little of the ZIPG and in their filings they state We are currently considered to be a "blank check" company. the way i see it this deal was simply to get off the pinksheets. now the concern i have is how is the exchange going to happen are we going to end up with more or less shares. has anyone spoken to the company for clarification!
ZIPG has no money,nothing other than a clean otccbb shell trading higher than mdgc!
wow just got share count o/s over 429million im out way too many shares to swollow
anyone know the current share structure?
im in @ .0063
The way i see this is it looks like they are porviding a way to get off pinks onto otcbb quicker? "quote" It is anticipated that both companies will move quickly towards a definitive acquisition agreement.
and thoughts?
ZIPGLOBAL HOLDINGS(OTC BB: ZIPG.OB)
InteleCom Receives Letter of Intent from Israel for Purchase of 5,000 COIP Technology Adapters and 5,000 Cell Phones
On Tuesday May 26, 2009, 8:45 am EDT
INDIANAPOLIS--(BUSINESS WIRE)--InteleCom, Inc. (OTC: IECM - News) (www.intelecomplus.com), is located in Indianapolis, IN, and has been a leading provider of international Voice over Internet Protocol (VOIP) communications and is now the First Monetized Social Platform, My Social Income (MSI), whereby over 50% of the advertising and sales revenue from its two flagship products, the Web 2.0 Communication Suite and the Web Marketing Suite, are shared with its members.
Recently InteleCom announced the introduction of “1 Button to WiFi”, an adapter that allows one to make cell phone calls internationally for only pennies per minute. The company recently followed that press release with an announcement that they will soon be selling a new “1 World 1 Phone” cell phone with advanced features.
Last week it was announced that over 75 national and international leaders have signed up to sell InteleCom’s products. In addition to direct sales, InteleCom just received a Letter of Intent from Advance Services in Netanya, Israel to purchase 5,000 adapters and 5,000 cell phones. There are 7.5 million cell phones in use in Israel and they all call internationally from time to time. Advance Services is in the process of getting import licenses and working with the Israeli Ministry of Communications. Advance Services believes it can sell 40,000 of each device in the next 12 months.
InteleCom recently issued a press release forecasting in excess of $30,000,000 in revenues for 2009. This forecast is based on revenues received from the sale of both the “1 Button to WiFi” adapter and their new “1 World 1 Phone”. The Company plans to sell them as a combo unit for $499.00, which is the current retail price for most cell phones in the marketplace. In addition, the customer receives over 5 hours of international calling that comes with the adapter. InteleCom believes it can sell five to ten thousand units per month within a ramp up period of three months. Positive cash flow is realized with only 1,000 combo units per month.
For additional information on how to become a member of My Social Income, the First Monetized Social Network, go to www.mysocialincome.com or www.mysocialincome.biz.
About InteleCom, Inc.
InteleCom, Inc. is an 11 year old company that has provided value added telecommunication and technology products, including Internet phone service through its other division InteleFone. This service, which also works on dial-up, is rated at the highest level for voice quality and clarity because of its advanced dynamic bandwidth-dependent voice packet packaging technologies.
For additional information on how to become a Member of MySocialIncome.com, the First Monetized Social Network, go to www.mysocialincome.com or www.mysocialincome.biz.
Statements contained in this news release, other than those identifying historical facts, constitute "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Safe Harbor provisions as contained in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relating to the Company's future expectations, including but not limited to revenues and earnings, technology efficacy, strategies and plans, are subject to safe harbor protection. Actual Company results and performance may be materially different from any future results, performance, strategies, plans, or achievements that may be expressed or implied by any such forward-looking statements. The Company disclaims any obligation to update or revise any forward-looking statements.
Contact:
InteleCom, Inc.
Shawn Balaghi
Investor Relations
702-940-9844
investors@intelecomplus.com
The 30-tower network provides a critical link for MediaG3 to fully enable a Broadband IP-based network in the US in conjunction with its core LMDS fixed wireless equipment and technology, and allows access to meet growing demand for broadband-IP services (including VOIP, data, multi-media and 3G interactive services). The tower assets will afford MediaG3 oversight and control of a robust network, whereby WIMAX and CDMA 2000 network providers will seek to align with MediaG3 to enable their service platforms for broadband IP services.