Listening to Looksmart webcast today made me feel more comfortable with my betting on Looksmart's potential corporate play... The CEO sounds much more confident in the future of the company than during the webcast after the last MSN's announcement..
It is good to know that Looksmart will have at least USD 65 million in cash by the end of the MSN's contract and that means Looksmart will definitely survive this set back, but it will be dropping off from the big league down to a second tier player competing with the smaller search companies likes Findwhat.
All in all, we know that conslidation of the industry is still going, and eventually it will be down to 3 camps leading by MSN, Yahoo and AOL..
I am very incline to the later one as potential suitor of Looksmart and nothing will happen until MSN's contract is cleared from the scene. Who ever bought a large trunk of LOOK still have a few months to declare their positions and would have plenty of time to negotiate with the founding share holders.. The longer LOOK price is depressed, the easier for them to take it over.
By saying so, LOOK is now trades quite stable and I can not see it drop below a USD dollar. The risk now is very much to do with the exchange rate with stronger Aussie dollar.
Weighting all these risk, I have decided to cut down 1/2 of my betting on LOK to free betting fun for other opportunities available in the current market. Good luck with your betting on LOK or LOOK.
Cheers
PS: For negative people like Goblin and the likes.. please do not answer to my post. I am responsible for my own decision and happy with what I am doing......Your negativity attitude does not help anyone here.. You are costing people money and opportunity do make it...
LOK Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
