Canndoo:

On the surface, no. Holocom appears to be a private firm with limited capitalization, and is not on NASDAQ. Holocom may not meet the capital reqmts to qualify for NASDAQ and/or prefers to remain private at this time. However, should the "market" perceive the acquisition/merger of Holocom as significant accretion to PTSC earnings, then PTSC may be rewarded with a larger share price based on the expectation of continuing earnings growth from Holocom quarter over quarter. Eventually, the share price may be high enough $3-$5 to qualify for the AMEX or NASDAQ. Keeping a constant share price in that range over a few months is the only thing preventing PTSC from leaving BB land forever. All other NASDAQ capitalization reqmts have been met. Of course, the MM's know this and will do everything in their power legal or illegal to prevent this from happening. That's why the simplest way of PTSC to get on the AMEX or NASDAQ is to buy an already listed firm on either exchange.

I like PTSC's new investment in Holocom on first impression. The company is located nearby to PTSC and appears to be in a growth industry - secure networks (which is only going to get bigger, coupled with more likely higher gross profit margins in govt & defense sectors of the economy both here and abroad). PTSC is current receiving 10% interest on a revolving credit line with the expectation of much closer ties with Holocom. Minimal investment, low risk, local firm, good ROI, with potential future direct investment in Holocom. Works for me!

Know what you own

Virt