Service Systems International : Financing And Growth Prospects
1/10/2002 10:14:00 AM
ATLANTA, GA, Jan 10, 2002 (INTERNET WIRE via COMTEX) -- We have learned from the management of Service Systems International, Ltd. (SVSY) that significant progress has been made on a financing structure that will allow for immediate expansion of marketing and production capabilities for the UltraGuard Ultraviolet disinfection system.
The company is also close to announcing an acquisition target for inclusion in a proposed equity dividend distribution plan undertaken by its investment bank, Rosenfeld, Goldman & Ware.
Upon talking with Carlton Epps, Micro-Cap Analyst at Jackson, Shanklin & Sonia Securities, he cited the following reasons to own the stock:
1) In December, SVSY announced delivery of 4 UltraGuard Units. This is evidence that the company is building an immense amount of steam with respect to order flow. If this pace continues in the new year, look for SVSY to blow past its' earning projections for FY 2002.
2) The stock has traded down over the recent holidays reflective of lighter market trading volume and absence of news on the company. As details of the equity dividend distribution plan and financing amounts are finalized, he expects momentum in the stock to pick up tremendously making today's price level, in his opinion, a prime entry point into the stock.
3) Shareholders will receive equity in the spin off company to be announced allowing them an immediate return on their investment and the opportunity to get in on the ground floor of a developing company with technology in the area of bio-terrorism counter measures for consumer oriented application. As the war against terrorism drags on with no resolution in sight and the strong possibility that we will soon engage enemies outside of Afghanistan, we will inevitably be facing threats from multiple fronts. As products are produced to help households and private entities augment the measures the government is taking to protect those in danger of bio-terrorism, new markets will open up and SVSY is positioning itself to be a major player in that market.
4) Financing talks reportedly in excess of 20 million dollars will provide the cash infusion SVSY needs to focus on the expansion of its current and developing technologies as well as prepare for subsequent acquisitions that are complementary to its current operations.
Conclusion the patient investor with a 6-12 month time frame and room in the aggressive part of their portfolio, this investment could very well return up to 400% from current levels."
This financial report may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by those sections. Such forward-looking statements, particularly as related to the business plans of the Company, expectations of strategic relationships, business opportunities related to electronic document delivery and related applications and voice, data and internet access telecommunications services, and the Company's ability to gain market share, the size of the market, the ability of the Company to develop new technologies, the ability of the Company to compete effectively in the marketplace, and the future product opportunities of the Company are based on current expectations that involve a number of risks and uncertainties. Actual results may differ materially from the Company's expectations and estimates.
The information and opinions in this report were prepared by Rosenfeld, Goldman & Ware, Inc. ("RGW"). RGW does not undertake to advise you of changes in its opinion or information. RGW and others associated with it may make markets or specialize in, have positions in and effect transactions in securities of companies mentioned and may also perform or seek to perform investment banking services for those companies.
Jackson, Shanklin & Sonia Securities, LLC and/or their affiliates or their employees have or may have a long or short position or holding in the securities, options on securities, or other related investments of issuers mentioned herein and may buy or sell the securities at any time without advanced notice.
The investments discussed or recommended in this report may not be suitable for all investors. Investors must make their own investment decisions based on their financial position and specific investment objectives and using such independent advisors as they believe necessary. Past performance is not necessarily a guide to future performance. The price or value of the investments to which this report relates, either directly or indirectly, may fall or rise against the interest of investors.