Well I can honestly say I was expecting something a little more exciting coming out of a trading halt. I guess peoples expectations are high and perhaps warranted.
So when DES proudly announced their latest acquisition you could almost hear the collective “What the…..” from investors. The price didn’t move because the average investor didn’t know whether this was good bad or indifferent. I mean had any anyone on Hot Copper heard of Oystermag.com? Did you know that their readership is 180,000? They have ties with My Space, sell 36000 mags at around $15 a pop, including 12000 internationally or that a full page ad in Oyster will set you back around $5000?
This is exactly why I think DESTRA is an exciting company, it is right at the pointy end of the so called “digital revolution” and if investors stick to the adage of “never invest in a company you don’t understand” it will take time to reach it’s true potential in the meantime DES can buy companies such as 3D World and Oyster, both established businesses, (but possibly lacking the resources to realise online potential) at bargain prices.
On a side, I am a big fan of online advertising; I recently read an article which suggested some companies are considering devoting 30% of their advertising budget to the internet. In 2000 it was 2%.
Online communities make target marketing easy and give value for money to the advertiser. And if you own or control the content the communities want such as Music and ringtone downloads then you have a cash cow.
Thanks for the Cudo's TTH, just dont buy on my say so. I recommend you guys have a look at these two companies if you haven't already. I spent more time on Oystermag.com and reckon I'll stick with DES,it just requires some a little faith.
Oscar
Oscar
DES Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held