Topic: Growth Stocks

The Stock Pickers Digest Hotline – Friday, September 4, 2009

Article Excerpt

GREY ISLAND SYSTEMS INTERNATIONAL $0.34, symbol GIS on Toronto, has renegotiated the terms of the friendly takeover offer it received from WebTech Wireless (symbol WEW on Toronto) last month. WebTech’s main product is its Quadrant fleet-management system, which lets dispatchers know where their vehicles are at any time. Quadrant is used in over 45 countries. Under the new offer, Grey Island shareholders will get 0.35 of a WebTech share for each of their Grey Island shares. That’s up 16.7% from 0.30 of a WebTech share under the old deal. Based on WebTech’s trading price, the new offer translates to $0.37 per Grey Island share. The company’s shares continue to trade below the takeover price, which means that investors do not expect a competing offer. Grey Island shareholders will vote on the deal at a special meeting in mid-October. Grey Island investors should tender their shares to WebTech to get the higher $0.37 price. We continue to view WebTech as a hold,…

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