Saturday, March 27, 2010 12:55:15 PM
While there's still much clarification needed on various matters, I believe the direction that CTGI is heading is, LTC will be spun off and CTGI will merely be a shareholder more or less, with CTGI then focusing only on their own remaining and future acquired technologies. Since K.Bruce Jones has been focused on CCTI all along, good chance he may become the permanent CEO of CTGI. This new group is (I believe) the leadership of CTGI only until LTC is a legal entity all unto it's own.
To clarify a bit more what CTGI S/Hs can probably expect when this all occurs, when LTC licenses applications out, CTGI will receive it's shareholding proportion to be used in whatever way CTGI management chooses (new acquisitions of technologies). Presently, CTGI's lions share of debt is tied to LTC. Once it (LTC) is spun off, the debt will then be satisfied by the IPO, leaving CTGI pretty much debt free with income from LTC licensing.
In other words, let's say ISRG (for example) licenses an application for $20M (whether they use it and profits from it doesn't matter. They pay for the licensing/rights to use, up front). Debt free CTGI would receive CTGI's S/H proportionate percentage (currently at least 51% but expect that to probably change by the time all is done and told and everyone (debts, etc) are satisfied).
What does it all mean to the bottom line? That CTGI is a strong buy and hold once again, for the long-term investor. Flippers and very short term not so much. However, the moment an application is announced as being licensed, CTGI will no longer be the 'hidden gem' that it still is. As funds become more available, CTGI will become more 'known'.
And BTW, I believe CCTI is definately part of the Texas pilot power plant program announced by ADES. If I'm correct, this is far more significant than most people realize. No rule says CCTI has to be the hands down absolute best c.c.t. in order to be considerably profitable. Just being one of the top 3 is awesome in itself. No different than the Top 3 automakers. There's p-l-e-n-t-y of room at the top.
To clarify a bit more what CTGI S/Hs can probably expect when this all occurs, when LTC licenses applications out, CTGI will receive it's shareholding proportion to be used in whatever way CTGI management chooses (new acquisitions of technologies). Presently, CTGI's lions share of debt is tied to LTC. Once it (LTC) is spun off, the debt will then be satisfied by the IPO, leaving CTGI pretty much debt free with income from LTC licensing.
In other words, let's say ISRG (for example) licenses an application for $20M (whether they use it and profits from it doesn't matter. They pay for the licensing/rights to use, up front). Debt free CTGI would receive CTGI's S/H proportionate percentage (currently at least 51% but expect that to probably change by the time all is done and told and everyone (debts, etc) are satisfied).
What does it all mean to the bottom line? That CTGI is a strong buy and hold once again, for the long-term investor. Flippers and very short term not so much. However, the moment an application is announced as being licensed, CTGI will no longer be the 'hidden gem' that it still is. As funds become more available, CTGI will become more 'known'.
And BTW, I believe CCTI is definately part of the Texas pilot power plant program announced by ADES. If I'm correct, this is far more significant than most people realize. No rule says CCTI has to be the hands down absolute best c.c.t. in order to be considerably profitable. Just being one of the top 3 is awesome in itself. No different than the Top 3 automakers. There's p-l-e-n-t-y of room at the top.
L~
"took me 3 long years 
to make a million bucks over night"
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