Have been watching god for the last week and has seen large volumes and improving price. Yesterday it had a dash up to 2.3c and settling today at around 2.1c. Decided to do some research and found that god has great potential not perhaps so much from its existing business of running medical clinics which are expected to be making profits as well (but perhaps not as fast as the company would like it to) but the merger with a US company, called Medair.
Although in the same industry ie medical support, Medair business complements that of god in terms of its operations and also geographically. Medair specialises in remote medical supplies and also has a medical purification system, and provides medical equipments (which I understand also include airborne medical equipments).
Where I find it exciting is that they are geared to bioterrorist attacks and I can see their busines flourishing at the moment and in the near future as the western world improve their security against terrorism and have emergency plans for medical support and isolation rooms available for bioterrosism attacks- this is the market of Medair (see their website www.medair.com).
Medair at the moment is a private company with good revenue and has been operating in the medical support and medical air purification arena in the US since 1985. It has a list of clients which include many known hospicals and isolation wards, so company is well established and profitable. The last 2 announcemnts had Medair doing some work for airlines in the US suppling them with emergency medical equipments on board planes- again all relating to terrorism activities, one could imply.
There will be a meeting tomorrow for god shareholders. The way that this is going to work is that god shares will be exchange for Medair shares (approx 50 god shares for 1 Medair share- not sure how they have worked out the numbers but info memo were sent to shareholders would provide an indication of value). God shares will be delisted mid Jan and Medair shares will be listed- this will include god current business and medair business.
I see synergies as god operates clinics, also remotely in Aust and China, and Medair needs to get into Asia. So each business complements each other and certainly not in competition. Client base would appear to be able to worked by the other business. At the current time of uncertainties if both businesses could with the effect of war and terrorism and support both airborne carriers, on the ground emergency clinics and provide purification equipments for isolation wards, I see all that as big business.
Green alert is without a value ?? as it is hard to ascertain how the 2 businesses added up together with the synergies, would add up to. But one would think with the potential and the uncertain world that we are in with the terrorism potential, both busineeses in Medair is certainly the right partnership to provide a under the one roof service in an emergency and preparation for an emergency situation. A value in well inexcess of the current value of 2 cents I guess is possible. We will definitely have to wait for when Medair is listed as to the value that the market puts on it. At the moment I doubt that the market realises what this means in terms of the merger. The approval meeting is tomorrow, the directors are asking shareholders to approve as they see value in coming together. The shares are not converted until mid Jan but hopefully once the scheme is approved tomorrow we can see some positive move.
Research yourself and see if you agree.
Bigprofit
GOD
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