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Who's on first?
Skunks, it is mathematically impossible to answer the question you are asking about % ownership. It is a division problem in which ownership equals 120 million divided by total shares issued and outstanding. We do not know the total issued and outstanding.
How Spooz shareholders benefit is very clear. If 141 is successful it's share price will rise. Spooz will hold 120 million common shares of 141 and so, if those shares rise, since it is listed as an asset, the value of the asset rises. That in turn will increase the net worth of Spooz and spooz share price will appreciate. We further benefit because if 141 does nothing or even fails, we still have $500,000.00 a quarter for three quarters and Spooz will not suffer because 141 is a separate entity. This is what Paul meant by risk mitigation. If 141 prospers, so do you. If 141 flops, you lose nothing. It's a gift.
Skunks, once again. Any net PROFIT that 141 generates by trading accounts, Spooz gets 7% of that profit. Nothing whatsoever to do with licensing fees. Licensing fee was a one time shot...$1.5 Million to trade Futures and Derivatives with SWARM.
7% of NET PROFIT , nothing more or less. The licensing fee has nothing whatever to do with the profit sharing. The 120 million shares that Spooz will own in 141 have nothing to do with profit sharing.
After this, I give up...The PR is absolutely, positively and beyond any shadow of doubt, crystal clear about this. I do not understand how they could have framed to pronounce this any clearer. The only variable is that we do not yet know how many total shares of 141 there will be. Once they go public we will know.
Skunks, it is impossible to be any clearer about the 7% than to state the fact that Spooz will receive 7% of the net profits that 141 generates from SWARM related trading AND any trading utilizing any system developed in the future using SWARM technology. It is perpetual profit sharing...period. There is no more or no less to be read into it. Percentage of Spooz ownership in 141 has nothing whatsoever to do with the profit sharing.
Look, here is the deal, plain and simple. Spooz negotiated THREE things for themselves and us by extension:
1. $1,500,000.00 cash
2. 120 million shares of 141 Capital common stock.
3. 7% of all net profits 141 makes trading accounts with SWARM and any system developed down the road based on SWARM.
These are three points agreed to by negotiation and one has nothing to do with the other.
Exactly. It's a gift that keeps on giving.
Skunk ,the 120 million shares and the 7% of net profits from trading are two entirely separate things. We do not now know how many total shares of 141 there are/ will be. So we have no current way of knowing what percentage of 141 ownership 120 million shares is. We DO know that in addition to 120 million shares of 141, we also will receive $1,500,000.00 cash AND 7% of net profits generated by all trading done by 141 using SWARM technology AND any other trading systems developed in the future using SWARM technology. This is a gift, and a very generous one at that.
Shine, certain individuals can see as well as you and I the potential here. But they may not be here to recognize that potential. They may have other motivation in posting every conceivable negative POSSIBILITY without any substantiation.
...Oh, and "Yeah, but that is what we now have $1,500,000.00 and 7% of net profits in....Futures and Derivatives trading...."
I guess there is no money in equities, options or anything else, right? What a foolish conclusion. There is a fortune is clams if you collect enough of them.
The exclusive license mentioned was for futures and derivatives trading. Spooz can license SWARM for anything else such as stock trading, option trading...what have you. To whom they license and for how much and to how many they license is completely up to Spooz.
Kauderer, according to their website:
# Targeted Newsletters / Emails / Facsimiles- On a weekly basis our IR firm will send a newsletter to their growing subscriber base of over 1.5 million investors
# A couple times a year they will send target emails to our base of 10 million opt in accredited investors and we will sent facsimiles to our opt in network of 3 million accredited investors
3 million ACCREDITED investors? I wonder if Kauderer can interest a handful of accredited investors to chunk in $50k or so apiece in a manged SWARM account at 141? If one in a hundred thousand of those accredited investors jumps in , that is 30 investors. If they would risk $50k each, that's a managed account funded with $1,500,000.00 That is one out of a hundred thousand of their opt in accredited investors. VERY conservative guestimation.
I am thrilled that in mere months all of this with SWARM has gone from development to implementation. We as Spooz shareholders are the recipients of benefit we did not conceive of only a short while ago. And next I look forward to STv2. Things are really looking up, IMO.
The post was tripe. When Spooz filed patents for SpoozToolz it constituted a viable work around to TT's virtual stranglehold on the futures markets.
The post was wrong in it's conclusions.
Peeved,the answers to your questions were all laid out in the release:
1. Spooz shareholders benefit by licensing revenues and by the stake that Spooz holds in 141. If 141 generates revenues by trading managed accounts, those revenues will translate into profits and a higher share price for 141. Spooz shares in 141 are a fixed asset and will increase Spooz' bottom line and share price. I believe we (Spooz holders) will see a better rate of return with this set up because 141 will receive an infusion of trading funds from accredited investors and will have the capital for high end trading that Spooz itself simply does not have at this time. In order to have traded in house Spooz would have to raise a lot of money first which will likely have translated into equity capital ( selling more Spooz stock). So I believe that we will see more benefit faster this way than we would have otherwise.
2.Our stake in 141 does show up as a Spooz asset. As Paul said in the PR, this is risk mitigation. We have a separate entity that has the ability to create a lot of value for our stock , but if the returns are not all that great it will not detract from our Spooz value. Also, consider that while 141 is licensed to trade SWARM for futures and options, Spooz can license SWARM to other companies for othe forms of trading. So we still stand to see even more benefit from SWARM. Spooz is not giving anything up here, we still own SWARM. And what is to say that Spooz can not eventually open a managed account with 141?
3.The need for the quiet period was incumbent upon Spooz because those whom Spooz entered into negotiations with requested it and Spooz council advised it. What sensitive knowledge passed between the parties? Only they know. But there would have been no negotiations without the quiet period. Remember that the people across the table had their own interests in mind, not ours.
4.Spooz WILL get money through the licensing agreement and through it's position in 141. And Spooz , the original Spooz before SWARM, is now free to pursue the original vision of SpoozToolz. The PR also made clear that Spooz desired to be undivided in that cause. So we now have a stake in a potentially lucrative source for Spooz and Spooz is unencumbered in the operation of that entity and free to press on with STv2. It is my hope that Spooz, TT, and many other big industry names will come to some licensing or fee sharing arrangements. I think people will be shocked at how big that could be for us.
jc
OFF TOPIC. Since the topic of doing a cartwheel in a kilt came up today , who would like to hear a account of just such an incident at a solo bagpipe competition?
You and me both...
I've just read that the Kauderer Group has a data base of 3 million accredited investors. I wonder if any of them might be interested in a managed account with a futures and options trading company that can boast 95% winning trades?
...and the MERC is THE center of futures markets in Chicago. The buildings in the picture below this post is of the MERC buildings.
...nothing to do with approving deals. It pertains to registrations.
Very true. The SEC imposes a quiet period when a company, pink or not, files a registration statement. The period is in effect until the SEC determines the registration is in effect.
In our case, we were told by Paul that the recently concluded quiet period was at the behest of those with whom Spooz had entered into negotiations regarding the injecting of millions of dollars into the company. It had nothing to do with the SEC. We were however told that Spooz' council also advised the company to observe a quiet period.
But you are right about IPO's , SB registrations, etc. The SEC absolutely imposes quiet periods. I once exchanged emails with the IR person at a pink sheet company under an SB-2 quiet period. We exchanged hundreds of emails over many months. She never once would violate the quiet period restriction. So I know it was a matter of concern for her not to. Bless her heart, we developed a good rapport and I learned a lot about the company, but never anything anyone else could not dig up publicly. Very often she would simply tell me where to look.
I was wearing my figurative kilt...LOL
No, in fact the SEC often imposes quiet periods. They do want investors informed of material information, but they want them all informed at the same time and publicly. However, in this case the quiet period was not SEC. It was at the request of the companies and / or individuals that entered into talks with Spooz about investing in the company, and Spooz council. The fact that a PR came out today tells me the quiet period is over.
Read the PR again. It clearly states that 141 will trade under and exclusive licensing agreement with Spooz. It says they will begin trading early 4th quarter. In order to begin trading early forth quarter,it follows that the licensing agreement must be in place. So if early 4th quarter is "soon" than yes, the agreement will be completed soon, if in fact it has not ALREADY been completed.
Oh God, your right! I'd better sell right away!!!
But seriously folks, don't you suppose in time for trading to begin in the fourth quarter 2007?
The licensing agreement regarding SWARM is material.
Take your time, ITGuy, no hurry.
My theory for weeks has been that Spooz will go the route of licensing and fee sharing, much like the model TT is employing with good success. When I saw the word "License" in today's PR, I did a back flip (figuratively speaking...LOL)
It's plain to see, isn't it? I can't wait to see what transpires with Trading Technologes. Mark my words, that could be HUGE.
I'm no expert either, but I am determined not to think like a pink sheet "investor" looking to win the lottery and then run. This is no lottery ticket. We may well all be big winners. SWARM will be the black box monster managed by 141. Spooz will still be Spooz, free and clear, only Spooz has just grown itself a licensing agreement and a stake in a firm that will trade managed accounts. I'm happy!
Hey, no problem. Today seemed to confuse and frighten a few. Hence the panicked selling. Many bought and were holding for the "mother of all PR's" , or so it would seem. To me, this is a monster PR because we now know the result of the interest generated by SWARM... Managed accounts trading under a licensed agreement. We own a stake in that now, or will shortly, and Spooz itself is still positioned to see to the roll out of STv2 which could be very interesting. I think we will see the word "license" again as pertaining to brokerages... ;)
SWARM was developed and tested by Spooz Trading Technologies, Inc, A WHOLLY OWNED SUBSIDIARY OF SPOOZ. SWARM belongs to Spooz.
141 Capital, Inc. will occupy offices at the Chicago Mercantile Exchange to take advantage of superior exchange connectivity enhancing its ability to trade SWARM, under an exclusive futures and derivatives trading license granted by Spooz. The business of 141 Capital will be to manage accounts under registrations with the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA) as a Commodity Trading Advisor (CTA) and Commodity Pool Operator (CPO). 141 will complete applications for registrations as soon as 141 commences trading operations early in the fourth quarter 2007.
Is it not clear to all that this is the vehicle by which large investors will trade with SWARM? Spooz , the OWNER of SWARM via Spooz Trading Technologies, will receive an equity position in 141, will license SWARM to 141 ( not give away, LICENSE), and 141 will manage trading accounts for investors. Trading operations commence early next quarter. Spooz still owns and controls SWARM...abundantly clear to see. Spooz shareholders have been given a piece of 141 because 141 will deliver to Spooz the 141 shares mentioned. that is what consideration means here...it means in payment.
The PR is pretty clear to me.
TEK, In the case of Spooz, I respectfully disagree that silence is not good. Here are the reasons that I disagree:
1.The silence was imposed at the behest of those negotiating with Spooz. Paul came forward immediately and made that clear. The negotiations , as Paul told us, involve those "wishing to inject millions into our company". This kind of silence can not be compared to that of pinks that suddenly fall silent without any apparent reason. Paul did not suddenly and for no reason go silent. We know the underlying reasons here and have been told not to expect to hear anything until the time comes. I don't see that Spooz can break tryst with the people across the table or foolishly ignore legal council simply to assuage a handful of impatient chat board posters. That would be irresponsible, irrational and damaging to us all. It would flat out piss me off. They need to listen to their council and keep it zipped until the conclusion of what ever is being negotiated.
2.The price performance does not support the view that..."silence is not good , not this long that is...". In fact, since the last PR we had which concerned SWARM and the phenomenal test results, the price has actually increased. It was then at about 0.007 and since has broken and largely held above a penny. My conclusion is that the lion's share of stock holders trust Paul about the silent period and the reasons behind it, and appreciate the fact that he even said as much about it as could be said. Again, price performance is what I offer as support to what I say. There simply has been no rush to the exit door.
3. As for long delays hardly ever working out for the investor you are arguably correct there, generically speaking. However, Spooz has been at this for a number of years now and has not deviated from their stated goals. And only very recently ( as in since the beginning of the year) have things developed to involve names like Activ, Man Financial, Trading Technologies, TDAmeritrade, etc. This company has evolved from one developing trading software by subscription into one negotiating with the very biggest names in the business. It has evolved to include a proprietary in house trading division revolving around SWARM. We have been told that the response to the SWARM results as well as the in house demonstrations of STv2 have resulted in a great deal of interest from the industry professionals. We have read of the possibility of STv2 becoming a value added platform for clients of brokerages.
Now, having said all this, I think that this silent period has not proven harmful up to this point. And if broken prematurely, it would certainly run the risk of harm depending upon the reaction of those negotiating with Spooz who have requested the silence. I take comfort in the knowledge that Paul and company have more riding on this than any of the rest of us. Also I am happy about the fact that Spooz is dealing with the very biggest names in the industry. This is not a time to grow impatient. Not in my mind. This has been years in the making. I don't see the logic in impatience or in expecting Spooz to break off quiet negotiations simply because some chat board posters are nervous. It's a start up venture and requires a certain mindset on the part of investors. In my opinion we need to think in terms of stages and goals, not simple chronology. When you buy a lottery ticket, you know when they hold the drawing. This is not a lottery ticket. It is a development stage start up on the verge of flight.
If the float is unchanged over the last five weeks, how can it possibly untrue or not factual to say it is unchanged over the past two weeks? That is mathematically impossible. And what is untrue about saying there has been no HydroFool update for the past two months? George promised monthly updates.
0.0135 is the next hurdle. We've bounced under it twice. Third time the charm, I hope.
Again, if this were a pink with nothing proprietary to offer, partnerships in the works with a bunch of no name foreign "investors" , or any other of the crap you find with so many pinky stinkies, I could see selling and moving on. Spooz has proprietary disruptive technology. They have publicly disclosed talks and arrangements with Man Financial, TT , TD Ameritrade and others. These are among the biggest names in the business. The BIGGEST names in the business. Are you kidding me? I think I'll stick around...LOL
I can't see the logic in selling now. If the price were steadily eroding I could see a reason for concern. But this stock has increased over 300% since June and is holding very well. If I didn't know anything about the company and saw this chart I would be a buyer here. Buy, sell , whatever. It's everyone's own business what they choose to do and I don't care. But man, this is not a chart that says sell:
The customer service aspect may be shared if things happen the way I think they might. If a number of houses offer STv2 as a value added feature for both existing and new clients, I am sure each of these would offer in house support. And if the product is an added client feature, the client feels no real pressure to get up to speed in an unreasonable amount of time, since he/she is not paying a monthly subscription. In those instances, I think Spooz will be compensated by the trades that are run through the Spooz platform. The brokerages should see an increase in the number of trades, especially with clients trading baskets rather than a single contract or equity. That increase in trades should more than cover the brokerages' fee sharing with Spooz. If experienced traders enjoy a high rate of success with STv2, then word will get around quickly and it will draw traders like bees to nectar. It's a win-win situation. And it would be a great way for Spooz to proliferate by having well trained people at the various houses where the platform is an added feature. Share the load and grow faster!
jc
Well, they said they anticipate release this month. They are always wise in not painting themselves into a corner.
Darryl, if you read this, never mind WHEN you can make announcements. Just work hard to made GREAT announcements, whenever they come.
Best to you Wing. I'm going to pour a wee dram o'Ardbeg with just a drop or two of spring water to open it up. Then I'm going to play a nice 2/4 march called "The Siege Of Delhi". Have a great weekend.
jc