I guess this is all in reaction....
to the new TA of 160 million O/S. Well I cant say it tickles my fancy after spending a long day in meetings to come back and see this. I agree with xtremepicks to wait for things to settle a bit.
Lets re-evaluate. Nothing has changed fundamentally so I still stand by my 10 million dollar minimum and I say minimum buyout price taking into account 5 million in revs and placing a paultry 5 million dollar value on the development engine. It worth way more than that. That said with the 160 million o/s we still would warrant a .0625 shareprice. These are total minimums to I need to clarify.
10 million value = .062 pps
25 million value = .156 pps
50 million value = .31 pps
Now the examples we have seen thus far in the marketplace with acquisitions are of 100 million to 400 million deals. In comparison the 160 million o/s is still minimal and is well within reason of any NASDAQ tech stock.
This said, what can we expect our float to now be? Any ideas out there? We jumped 50 million in o/s. We add that straight to the 38 million float and we are setting at 88 million on the float. Again not a bad number but could be less with restricted shares. We were all hoping for a float lock-up. This is still possible if the folks at Slam will hold for a buyout and not penny it to death or if they are restricted.
It was my hopes that Slam and DNAD negotiated a deal that would pay Slam on the back-end in the event of the sale of the company not on the front-end. It is my opinion that the folks at Slam while super techies to build technology probably couldn't negotiate and create value for a sale like the experienced folks at DNAD. This was what I was hoping. That said, where are we??? That may still be the case.
We all can live with the numbers above:
Before dilution 10 million buyout nets pps of .091
After dilution 10 million buyout nets pps of .062
I am in hopes that this is it the final dilution for some time. If not be upfront and honest. If we can get that cleared up we can churn here for awhile and I believe we can begin move up again and regain some mojo and get to proper valuation. I am sure once we have settled down xtremepicks will be jumping on the band wagon again.....
The licensing deal is huge folks and adds more value than I would have every imagined. Honestly, the licensing revenue stream could easily more than make up for the minimal dilution we are currently seeing but hope is done for awhile. Probably will make up for it and then some!!!!
Just some rational thought after a long day!!!!
I still think DNAD is a steal at these prices, though I understand the sudden shock when the "d" word is used. You need to put it in perspective, like I hope I have above....
glta...
AI
