CYNX - Four Reasons Why Its Share Price Will Move to the Upside - SOON!
1. Excellent unique product,
2. massive market,
3. Financing (non-dilutive)
3. management shift to marketing -
For traders this is very important to know in addition to the technical signals when looking at where the share price is now - and where it will be soon - in my opinion.
CelLynx looks like it is at the beginning of a transformation. Recent news from a newly listed company, 5 Barz International, has me really thinking that we could be seeing the refocusing of a technology company from tech to marketing.
There is little doubt that the award winning technology has real potential as a range of products for cell users (there are well over a billion and growing). Their product which can be thought of as a mini cell tower amplifies the cellular signal to a full 5 bars of power even where there is only a single bar. The result is less troublesome voice problems and takes data and web surfing to its highest level of performance.
The market for the small plug-and-play technology is truly massive and their is no competitive product with its characteristics.
Investors have been frustrated by the lack of marketing success for the product and one can only look at management for this problem. So looking back at the past several months, There was a management change replacing the start-up management with a more marketing-friendly board.
With the 8K CYNX outlined the financing arrangements which saw that a company named “Dollardex” was going to finance the initial growth stage with $2.5 million in line of credit guarantees. And then in January, “Dollardex” did an RTO and became a listed company renaming itself “5Barz International Inc.” stock symbol BARZ on the OTC market.
To repeat the quote from the Jan 5, 2011 news release:
International, Inc. (5Barz) Acquires the Master Global Marketing and Distribution Rights for the Award Winning 5Barz "Cellular Network Extender" Technology. In it they said:
“...president Mr. Daniel Bland is pleased to announce the acquisition of the master global marketing and distribution rights for 5Barz products, as well as a 50% interest in the intellectual property developed by CelLynx Group Inc. The 5Barz technology is the first one-step plug and play cellular network extender in the industry. The 5Barz product line combines high-performance hardware with extensive software development, integrating complex algorithms and intuitive interfaces resulting in a consumer friendly product which amplifies a cell signal as soon as you turn on the device.
The consideration paid for the assignment of the assets is comprised of a note payable in the amount of $370,000 USD to Dollardex Group Corp. In addition, 5Barz will issue 15,600,000 shares of the common stock of 5Barz International, Inc. to Dollardex Group Corp., representing 17.8% of the issued and outstanding common stock of the Company. The agreements provide for the acquisition of the intellectual property for $1.5 million USD payable in a series of payments to be completed by February 28, 2011. In addition the Company is making a revolving line of credit in the amount of $2.5 million USD available to CelLynx to be fully funded if required by March 31, 2011, which is secured by the balance of the intellectual property.
About 5Barz International, Inc.
5Barz International, Inc. has entered into an exclusive, international, marketing and distribution agreement with CelLynx Group Inc, a winner of the International CES Innovations 2010 Design and Engineering Awards for its new, patent pending 5Barz cellular network extenders. 5Barz International, Inc. acquired a 50% interest in that technology and aspires to service an international marketplace of some 4.8 billion mobile phone users. Built on breakthrough technology, 5Barz technology delivers faster data service and clearer phone calls in zones with even the weakest signals. Unlike competing technologies, the patent-pending 5Barz™ technology does not require any installation, outside antennas or cables. It capitalizes on widespread customer dissatisfaction with indoor and vehicular cell phone coverage, and on the phenomenal worldwide growth of voice, data and video applications on cellular networks. 5Barz International, Inc. will focus on the sales and marketing of the 5Barz products incorporating this cellular network extender technology globally once the Company has completed the acquisition of those assets referred to herein.”[/INDENT]
Now what can this mean? CYNX is presently trading at 0.035 having fallen from highs of 0.25 in December 2009. BARZ is trading at 1.30. The commitment to the marketing of CelLynx technology is getting stronger not weaker. With a unique product like this solving the real problem of signal strength in a market of the size of cell users (over a billion) I see great things coming for this company and for the CYNX share price.
For me this is a huge buy at this point.
Trade well and prosper.
