Post by
BC_Budd on May 20, 2011 10:48am
RAM takeover or taken over
RAM is an interesting little company because of their low debt, small float, and potentially explosive industry (social media). RAM could wake up tomorrow at $1 with the signing of one client. Because we are all shaking off the after effects of the recession, it is difficult to push the share price up much because it costs money to hire PR firms. RAM has been fighting to survive over the last 2 years... simply put when drowning your concern of the moment is about taking your next breath, not whats for dinner.
For them to be taken over - the share price needs to get up over a dime at least and should really be closer to 25 cents for it to make any sense to insiders that control the majority of shares.
Same for taking over others - the company needs the ability to issue shares at a decent price to avoid excessive dilution.
What's important is getting contracts, increasing effeciency, and getting rid of anything that is not making money. My understanding is that is exactly what RAM is doing right now. What I think they need is someone with connections that can put together deals with major clients... CAE or someone like that.
RAM is on the right track.