- Fast growing company (organic and via acquisitions) that
attracted the attention of a tier one Brokerage firm (Maxim
Securities). Maxim recently completed a preferred financing
(converts to common at $0.75) for approximately $12 million dollars
with accredited investors (individuals and institutions). A road
show is likely to occur late in Q3 in conjunction with the company
ramping revenues and becoming profitable (company expected to be
slightly cash flow positive last quarter). See news releases for
previous contracts and new business.
- Strong Management Team. The offering was closed this spring with
part of the proceeds used to acquire another company. That company
(Ecological, Inc) was headed by Joseph Grano. Joseph Grano is now
the Chairman of the Board of PIMO (owns 2.68 million shares). He
was previously the Chairman and CEO of UBS Financial Services
(Paine Webber). Board members include Isaac Blech
who's family owns 15% of the company(Founder of Celgene), Harvey
Pitt (Former SEC Chairman), John Catsimatidis (CEO of largest
grocery chain in NYC and Forbes Billionaire who's is running for
mayor on NYC currently).
See website above for management and other board of
directors.
Unreal quality of management and board for such a small
company.
- Strong Balance Sheet with $9.2 million in cash and $22 million in
stockholder's equity. There are 23 million common shares
outstanding currently and approximately 42 million common shares
upon full conversion of preferred shares. There are warrants
ranging from $0.78 to $14.65 in price) which will add even more
cash as the stock appreciates to use of additional acquisitions
next year, etc.
- Insiders NOW buying stock aggressively (several directors have
purchased shares in open market reported June 26-July 9th). So far
they have purchased around 100,000 shares in the open market.
These guys surely are not buying for a trade. It has been
trading very quiet for the last few months while the company has
aligned all their ducks. However, this company will not stay under
the radar in the coming months.
- Revenues for 2013 are expected to be $50-80 million (revenues
were $5.6 million in Q1 so you can see the rapid growth
projections). EBITDA should conservatively be $5-10 million based
upon this forecast.
- The company has targeted additional accretive acquisitions which
I expect them to pursue once the stock appreciates. This industry
is highly fragmented and there are many companies that could
benefit from this management team and funding abilities. Great
synergy to look forward to over time.
- Some funds have already begun to take a position in this stock.
AQR Funds owns 315,000 shares and Advanced Series (AST) has
recently purchased 32,000 shares.
- The company has been in discussions for a big new credit line
which will definitely fuel faster growth and increase margins. I
hear this in near completion with a MAJOR institution. Stay
tuned.
- In summary, how often do you see a small company with this type
of management team and growth prospects (well financed by a major
brokerage house) performing work for fortune 500 companies (see
below) that is currently trading well below fair value? I
view this as an attractive SWING trade over the next 12-24
months.
Our typical customers have historically been Fortune 500
companies (including AIG, Southern California Edison, Duke Power,
Bank of America, and Wells Fargo), and they continually seek
expertise and knowledge in areas such as project
planning/management, business consulting, and business analysis,
evidenced by repeat business with these clients exceeding 70%. With
our recent acquisitions, we are better positioned to additionally
service emerging business and the mid-market arena, especially as
it relates to life sciences, biotech, real estate/facilities
managers, utilities, and technology focused companies.
On December 9, 2009, New York's City Council passed legislation
known as the Greener, Greater Buildings Plan (GGBP). This
legislation requires all buildings in New York City that are 50,000
square feet or larger to benchmark energy and water consumption,
perform an audit and retro-commissioning of base building systems,
perform a lighting upgrade, and install sub-meters. Under the GGBP,
NYC Local Law 87 requiring Energy Audits & Retro-commissioning
processes went into effect. The Audit and Retro-Commissioning
requirements will be due in groups of buildings beginning in 2013.
This should lead to a HUGE amount of business for Ecological
in the coming years with hundreds of buildings required to
participate. Ecological develops and implements energy
sustainability action plans for real estate portfolios, buildings,
and tenants in order to reduce costs, improve efficiency, achieve
regulatory compliance, and increase value. Ecological’s services
range from metering and monitoring, to in-depth energy audits and
analysis, to executing retrofit projects. By improving the
efficiency of environmental systems, such as energy, water, and
carbon, landlords can reduce costs, reposition client buildings as
“green” and create higher value and yield for their real estate
assets and portfolios.
I also just discovered that Wells Fargo Filed a 13G taking a 11.86%
position in the stock recently.
Fundamental Stock I Purchased Last Week
Posted by steve on 15th of Jul 2013 at 01:27 am
I bought 50K last week after doing EXTENSIVE due diligence.
Premier's Operations can be viewed under two major categories:
I also just discovered that Wells Fargo Filed a 13G taking a 11.86% position in the stock recently.
http://www.otcmarkets.com/edgar/GetFilingPdf?FilingID=9347276
very interesting and thanks for
Posted by smoothy on 24th of Jul 2013 at 07:07 am
very interesting and thanks for the info....could be huge