ISC great trading opportunity

  1. 175 Posts.
    If the merger with AAV Australia goes through on
    October the new combined entity should be looking at a
    conservative Net Profit in the order of $10 Million
    this year. Based on the figures released to the market
    ISIS will have a market Cap of approx $30 million when
    shares are issued to the current owners of AAV
    (INVESTEC - one of the worlds largest investment
    groups). The directors of AAV are suggesting that ISIS
    should become profitable this year - this could
    increase the overall Net Profit result to $10m plus.
    ISIS will become the largest Broadcast / Television
    post production company in Australia with one of the
    largest DVD / VHS duplication plants, multiple Post
    production/Visual effects facilities in Sydney and
    Melbourne (with an effective monopoly in Melb) and
    various Outside Broadcast facilities that currently
    have major long term contracts with Channel 9 and 7.

    Isis currently has $22million in assets (11.5 cents
    per share) yet trades at just 5.4 cents !! The merged
    entity will be 74% owned by INVESTEC who have help
    turn AAV into the most profitable Duplication/post
    Facility in Australia since they purchased the company
    4 years ago from FAIRFAX.

    Based on these conservative figures ISIS would be fair
    value trading at a PE in the order of 10 to 12
    (similar to VILLAGE ROADSHOW) which would equate to a
    share price of 18 to 22 cents. My prediction that this
    stock will trade at 20 cents plus within 12 months.
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