Client Case Studies
last updated: February 1, 2013
Period: Q4 2012 – Current Client: OTCQB:XBTCd
Challenge: Q4 2012 Xhibit Corp. (OTCQB;XBTC) was referred to RCI in search of fundamental investor awareness. With $9.52M in revenues XBTC was a growing new issuer motivated to establish and expand their shareholder base in conjunction with the growth of the Company’s balance sheet. The Company had posted steady quarterly growth to that point with a market cap of $225M.
Solution: RCI organized and disseminated the company profile to its retail network on a daily basis targeting small cap centric qualified registered reps. As the company announced corporate developments RCI ensured each press release was received by its target audience while continuing to build the shareholder base.
Result: XBTC has experienced share appreciation from $3.60 to a high of $5.00 with exponential growth in liquidity and a market capitalization that surpassed $300M.
Period: 2011-Current Client: OTCQB:PFIE
Period: 2011-Current Client: OTCQB:PFIE
Challenge: In late 2011, Profire Energy (OTCQB:PFIE) engaged RCI to implement a retail-driven awareness strategy to support and communicate their ongoing revenue growth to the investment community. The Company was thinly traded in the $0.65 range with a $39M market cap. Objectives were to build and sustain a supportive long-term audience.
Solution: RCI identified a selection of both regional and national registered reps from its 85,000+ CRM and began networking daily on the company’s behalf. Broker calls and meetings were arranged as RCI worked closely with management to raise investor awareness. As the campaign evolved efforts included refining the company’s message and driving it daily through retail, institutional, and media channels.
Result: The Company realized price appreciation of over (100%) reaching a high of $1.69. Daily volumes increased over (500%) while market cap grew to $75M qualifying the company for consideration by most micro to small cap institutions. The Company has also received analyst coverage from Taglich Brothers with a BUY recommendation and (12) month target price of $1.80.
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Period: 2011-Current Client: OTCQB:BFDI
Challenge: In the Spring of 2011, Brekford Corp. (OTCQB:BFDI) sought to implement a targeted investor awareness strategy geared toward realizing a fair market value. The Company was profitable, revenues growing steadily over $11M, yet traded in the $0.14 range with a $4M market cap. Objectives were to build and sustain a supportive long-term audience.
Solution: RCI worked with management on a series of initiatives to improve the profile of the company and raise investor awareness. Included in the efforts were refining the company’s message and driving it daily through retail, institutional, and media channels, familiarizing Wall Street with the short and long-term objectives of the company.
Result: The Company experienced healthy appreciation (+400%) over the course of four (4) months reaching a high of $0.59 and increasing its market cap to $23M. The Company has also received independent analyst coverage from Dawson James Securities with a BUY recommendation and 18-24 month target price of $1.00.
New Listing With Zero Awareness
Period: 2006-2011 Client: OTCBB:CFRI
Challenge: Conforce International (CFRI) was a shipping container company trading at $0.10 with a $3M market capitalization in late 2005. The company’s goal was to become a fully reporting issuer while increasing its shareholder base and liquidity in the market. Their concept for an environmentally friendly composite flooring product, EKO-FLOR, would require significant capital investment to reach its end goal of manufacturing and global commercialization.
Solution: RCI worked diligently and closely with the company over the course of five years executing various investor awareness campaigns. Through retail and online exposure the company was introduced to over 300,000 new shareholders as RCI coordinated five separate awareness campaigns. As the company secured a partnership with $50B Bayer Material Sciences, RCI began the process of seeking major financial media exposure.
Results: Share appreciation of over 500% while trading well over $1.00 for an extended period. To date, the company has raised over $8M, been featured in over 50 trade articles, and featured on FOX Business News. Currently, the company is in restructuring mode with plans to resume market awareness in late 2012.
Emerging Company Seeks Experienced IR Counsel