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TFstocks

09/12/13 6:32 PM

#16816 RE: KingErik999 #16813

Many times a company will take a stock that isn't worth as much and value it as higher, as they believe it will grow much more than that

i.e. REVO giving only 20 million worth of shares for a company worth 30 million, because the company believes their shares will soon be worth 35-40 million because of future growth.

It is actually more common than you might think. Some companies however, will only do an exact market value transfer, no matter the profitability projections. Those companies we use actual cash on :D
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fly_fisherman

09/12/13 6:50 PM

#16817 RE: KingErik999 #16813

I say avoid growing pains

Early on by stabilizing revenues and earnings under the current SS allowing the PPS to appreciate. If and when a good acquisition opportunity presents itself it will require much less shares due to a much higher PPS

Just my two cents worth.

I am not at all against using shares for acquisition.

IMHO we have a diamond in the rough here!!!

Holding Tight
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hoggydog

09/12/13 8:12 PM

#16832 RE: KingErik999 #16813

Acquisitions are just an excuse to dilute.They have enough to do as it is to monetize these patents which is going to cost millions in legal expenses.