NewMarket Technology, Inc. Targets $6.00 Total Value per Share
Company Presents Plan to Augment Stock Value Above and Beyond Share Price Through Innovative Dividend Strategy
DALLAS, TX--(Marketwire - October 27, 2009) - NewMarket Technology, Inc. (PINKSHEETS: NWMT)
today released an on-demand Webcast to present a plan for augmenting share
price value through an innovative dividend strategy. Management has
previously communicated plans to enhance a potential NewMarket price per
share increase through an improved balance sheet and capital structure in
addition to a listing on the OTCQX. Beacon Equity Research has rated
NewMarket as a speculative buy with a target $1.42 pps. Having now
completed the intended balance sheet improvements and capital
restructuring, today management presented a plan to augment the Beacon
Equity $1.42 target price per share with a supplementary value to be
derived through the anticipated issue of multiple dividends. In the
Webcast, management presents a target of delivering over $6.00 of total
value per share through a combination of share price appreciation and the
value of issued dividends.
"I believe NewMarket has $6.00 of potential value per share today," said
Philip Verges, CEO and Founder of NewMarket Technology, Inc. "It is my
opinion, with approximately $100 million in annual revenue and a positive
operating income, in combination with the magnitude of NewMarket's reported
shareholder equity, that on a national exchange, NewMarket could support a
$6.00 pps. However, we are not on a national exchange and even an increase
to the Beacon Equity target $1.42 pps will not get the Company listed on a
national exchange. For that reason, we have devised the dividend strategy
presented in the Webcast announced today to deliver additional value to
shareholders through the innovative issue of multiple dividends."
NewMarket has recently announced an anticipated dividend distribution of
the common stock of two foreign subsidiaries. A NewMarket subsidiary with
approximately $40 million in revenue from operations in China is already
independently quoted on the OTCBB. NewMarket has announced plans to
distribute stock in the publicly traded Chinese subsidiary to NewMarket
shareholders. NewMarket has also recently announced plans to establish an
independent listing of a South American subsidiary and similarly distribute
publicly traded stock to NewMarket shareholders.
The on-demand Webcast includes updates on the Company's $75 million in
total new sales contracts signed in 2009 and the recently announced letter
of intent to take a first step toward achieving the benefit of a national
exchange listing.
A link to the Webcast is now available on both the corporate website
homepage and investor relations page at www.newmarkettechnology.com titled
'NewMarket Corporate Update Webcast.'
Corporate Information and E-mail Updates
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Company, please visit www.newmarkettechnology.com.
About NewMarket Technology, Inc. (www.newmarkettechnology.com)
NewMarket is a reporting company with audited financial reports filed with
the SEC. NewMarket provides systems integration, technology infrastructure
services and emerging technology worldwide. NewMarket has a focus on
providing technology and support services to rapidly growing economies
where technology purchasing is on the rise. In addition to its base of
operations in North America, NewMarket has operations today in the growing
economies of China, Southeast Asia, Brazil and Northern Latin America. Last
year the Company reported over $40 million in revenue from Asia and over
$20 million in revenue from Latin America. Overall, NewMarket reported over
$95 million in revenue for 2008.
Across the globe, NewMarket is a Microsoft and Oracle partner, distributes
various computer hardware and peripherals from brand partners such as Dell,
HP, IBM, Cisco, Sony, Epson, Canon and Sanyo and is also an authorized
reseller of operating systems and various software from companies such as
Red Hat, Sybase, IBM, BEA, Veritas and others. Additionally, the Company
works with emerging technologies such as mobile computing, various security
and wireless broadband technologies.
NewMarket's rapid growth since 2002 has placed the Company on the Deloitte
Technology Fast 500 for 5 consecutive years. NewMarket was recognized as
the third fastest growing technology company in the United States in 2006
and the number one fastest growing technology company in North Texas for
two years in a row.
"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995
This press release contains forward-looking statements that involve risks
and uncertainties. The statements in this release are forward-looking
statements that are made pursuant to safe harbor provision of the Private
Securities Litigation Reform Act of 1995. Actual results, events and
performance could vary materially from those contemplated by these
forward-looking statements. These statements involve known and unknown
risks and uncertainties, which may cause NewMarket's actual results in
future periods to differ materially from results expressed or implied by
forward-looking statements. These risks and uncertainties include, among
other things, product demand and market competition. You should
independently investigate and fully understand all risks before making
investment decisions.
Contact Information: Contact:
NewMarket Technology, Inc.
Investor Relations
214-722-3065
ir@newmarkettechnology.com