eng v mnf v fre , page-8

Hi Ciatriss,

Scenario 2 is the scariest thing for ENG shareholders imo.

Youve been using the EV method, I just used EV/sales and the figures are not pretty imo. Based on an EV of my 5million or your 2million, which seems like a very realisitc approach to value these companies, Seven could put an offer on the table at these levels ie 2-5million(via a placement) and ideally fund the balance with the cash in the bank.

Growth rates/forecasts in VoIP for Australian homes and small businesses might be the best way to set values on these companies in addition to EV. Purchasers/clients are taking a liking to it because it works. Also it may prove to be a smooth process for additional WiFi product sales/plan upgrades into these arenas.

Any break away into mobile VoIP by any of these companies might see their failure especially with like of these services on the horizon:
http://www.jajah.com/

Hence why I have chosen MNF. They are focussed on the core VoIP market and introducing like services to these clients. Also costs seem to be in check. The fact that Symbio (MNF director related entitiy) are the termination providers adds confidence in MNF imo.

Cheers,
The Sparkler