Sharechat Logo

Of Bulls & Bears

Friday 1st September 2000

Text too small?

Genesis' profitable option

Investors are prostrating themselves before brokers this week, pleading for some shares in Genesis Research and Development Corporation, New Zealand's first pure biotechnology share market float. The company has a range of gene-based products and systems that have a good chance of producing commercially viable drugs to treat numerous human and plant diseases. Shares are being offered on both sides of the Tasman at $6 a piece and many investors are convinced they will go higher once trading begins later this month. One indication of the share's popularity is the use of a shares-instead-of-fees deal that has been in vogue for many dotcom listings in the US. The Genesis prospectus shows it has granted a company called Executive Search International an option to buy 20,000 shares at $2.75 "in consideration for Executive Search International Ltd providing professional introduction and appointment services in relation to the appointment of a consultant to the company." At this price, Executive Search is guaranteed to more than double its money when Genesis floats and potentially earn far more.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

19th June 2019 Morning Report
NZ dollar firms on signs US-China trade talks moving forward
Dairy product prices slump for third consecutive time
Chevron, Equinor depart NZ exploration scene
MARKET CLOSE: NZ shares gain as investors eye upcoming Fed meeting
Spark using 'free' rugby offer to lock out competitors, says 2Degrees
NZ dollar rises against the Aussie after RBA indicates further rate cuts
Gold Report 18th June 2019
Electricity Authority urged to test privacy status of meter data
Shorn Fonterra likely to keep ingredients business - Jarden

IRG See IRG research reports