Having travelled from Holland to attend the AGM ,two weeks ago , I ,and I think quiet a few on HC were very positive on the way the company presentation was handled after the AGM . A very positive story was told and there were almost no critical questions. The AGM in my mind was a little to shortbut but was well "orchestrated".
I left with the feeling that at long last our company was doing something.In the first quarter we had for the first time some sales not related to PDT,which by the way is doing very fine , I did like very much the focus on software development ,which to me was new,but which will mean a lot of recurring income in the future (following Microsofts example ?) I understood that part of the money raising was ment to hire more sales personel, something which has high priority ,while sales were handled by far to little people. And it will mean in my mind that we will see much higher sales volumes in the second half of the current book year. Then we come to the current rights issue ,initialy there was criticism about the issue of 8 mln shares at 35 cents ,in the light of current developments I do not hear anyboddy about that anymore.Then there was a avalanche of negative posts about the rights issue completly unfounded in my opinion it gives all current shareholders the chance to participate at a low price in the much better future of our company,without any favours to any body. I think every body should subscribe if they have the means to do so. Was the rights issue well handled by the board? ,I found all the corrections on the announcement rather slovenly,and I think the lawyers and the Board should be blamed.I think as well that a few pleasant bones could be thrown to the shareholders to reasure them of the potential of TZL ,which I do not doubt. I see the discussion around the right of Pattersons to terminate the underwriting agreement .It means that TZL has to close tomorrow again under 35 cents , which I think is unlikely,and even so they have then the right but will they do that I think it is unlikely.All depends ,how they have uplined a demand coming out of a shortfall of the rights issue ,I would be surprised if they had not thought about that I do know one thing all what is being said on HC is highly unproductive ,if you are critical about the Board ,write to them directly,as I have done, but do not hang out your dirty laundry in the public please ! By the way hopefully I am not deaf and blind everything I have seen reinfoced me in my believe in the company ,its personel,its tecnology and its prospects .It is a steal at current levels.
TZL Price at posting:
32.1¢ Sentiment: ST Buy Disclosure: Held
