Email : info@otcjournal.com
URL : http://www.otcjournal.com
To
OTC Journal Members:
 |
When You Least
Expect It- SHEP Technologies (OTC BB: STLOF) Rockets Up 68% In One Day |
|
Since introducing OTC Journal
members to SHEP Technologies in the February
21st edition, I haven't had much luck with the stock.
Until today.
SHEP has been slowly grinding
down the charts. The high was made at $1.73 on March 11th. The low was
made on May 22nd at $.65.
Based on today's action in the stock
it appears investors are looking for excuses to believe in this company.
Volume picked up on Monday and Tuesday without much price appreciation.
The stock traded over 1 million shares each day. The company issued a news
release last night which may explain the renewed interest in the stock,
and SHEP rocketed up the charts a full 68% today - an awesome move
for any stock in one day.
Most people invest in microcap or
"penny" stocks because they are looking for small companies with unique
technologies that have unparalleled growth potential, and are willing to
take risk. SHEP Technologies fits that bill as well as any company
I have ever covered. There is a high level of risk, but the upside is extraordinary.
As I stated in the original presentation, I believe every microcap investor
should own some stock in SHEP Technologies.
 |
Stored
Hydraulic Energy Propulsion (SHEP) |
 |
As a quick refresher course, I remind
you that SHEP has developed technology which has the potential to
end up enhancing the performance of every vehicle manufactured world wide.
Any vehicle which uses brakes to come to a stop is within the potential
market for the SHEP System.
The company has developed a revolutionary
method for capturing the kinetic energy lost in the vehicle braking process.
It works as follows: When you apply
the brakes in a SHEP fitted vehicle, the Ifield Pump grabs the drive
shaft. The spinning drive shaft turns the pump, and it stores the energy
in a hydraulic storage tank as the vehicle slows.
When accelerating from a stop, the
electronic control systems instructs the built up pressure to turn the
pump, and the pump turns the drive shaft until the pressure is dissipated.
The engine then takes over. Visit SHEP's corporate web site at www.shepinc.com
for a virtual demonstration.
In a joint development program with
SHEP,
and after two years of experimentation using a "proof of concept" Lincoln
Navigator, OEM Ford Motor and Tier I supplier Eaton Corp determined the
SHEP
system (stored hydraulic energy propulsion) was able create:
-
38% improvement in fuel economy.
-
32% faster acceleration from a stop.
-
51% less pollution.
-
77% longer brake life.
When one considers the long term commercial
applications for this technology, combined with the profit model for licensing
its use in the automotive manufacturing world, there is incalculable upside
potential.
Therefore, I felt any investor with
capital for a high risk/high reward situation should own shares in SHEP
Technologies. I originally recommended you should be prepared to be
"involved" with this company for at least two years to maximize your potential
for a big win. You can always trade around a core position if you choose,
but this is a long term situation.
I don't expect commercial deployment
of the system to come this year, and therefore I don't expect the company
to generate any revenues this year. However, I do expect that from time
to time the company will be able to announce progress benchmarks, and the
market believes one of these benchmarks is now on the horizon.
|
SHEP
Technologies (OTC BB: STLOF) Announces Intention To Apply for "AIM" Listing |
|
Just after the market closed yesterday,
SHEP
Technologies announced the company intends to apply for a listing on
the "AIM" London Stock Exchange. The AIM (Alternative Investment Market)
is London's version of the NASDAQ Small Cap/ Bulletin Board market. According
to the press release, $11 billion has been raised for the 850 companies
which trade on the AIM exchange since its inception in 1995.
At first blush, this announcement
doesn't seem to have enough horsepower to explain a major 68% breakout
in the stock on huge volume. However, sophisticated investors who understand
the AIM market may be reading more into the news.
The announcement goes on to specify
SHEP
has retained a accounting firm to apply for a special tax status which
makes an investment in SHEP Technologies very attractive to investors
due to certain special tax advantages established by UK tax laws for companies
in this category.
Based on today's performance in the
stock, I believe the market has made of leap of faith that the AIM listing
will lead to a significant financing for SHEP Technologies. This
would be another factor which would help mitigate the risks associated
with ownership in the stock.
I have not strayed from my initial
suggested trading strategy for this stock. Take 10% of your high risk investment
capital and allocate it for SHEP. Invest 25% of that allocation
if you haven't done so already. Don't worry about the ups and downs of
the share price. If this company succeeds, it will cost you more to be
out of the stock.
I'll try to get some clarification
and more information on the situation in the next couple of weeks.
Here is the complete text of the
press release for your review:
| Press Release Source: SHEP Technologies
Inc.
SHEP Technologies Applies for
AIM Listing on London Stock Exchange
Tuesday June 10, 4:31 pm ET
VANCOUVER, British Columbia--(BUSINESS
WIRE)--June 10, 2003--SHEP Technologies Inc. (OTCBB: STLOF, BERLIN: IH3)
("STI" or the "Company"), announced today that it intends to apply for
a listing on the London Stock Exchange's ("LSE") Alternative Investment
Market ("AIM"). AIM is Europe's most important venture capital exchange,
providing an international market for young and growing companies. Created
in 1995, AIM has facilitated the raising of over US$11.0 billion for some
850 AIM companies, both domestic and foreign.
STI management believes that an
AIM listing will provide the Company with greatly improved access to investment
capital and will also significantly enhance shareholder appeal due to its
UK-based share trading venue. STI's operations and intellectual property
are situated in the UK, and the European market offers enormous potential
for the implementation of SHEP System technology.
As a first step towards its AIM listing,
STI retained the services of a leading, UK-based chartered accountant and
business advisory firm during a trip to the UK last week. This firm will
seek approval from UK tax authorities to allow the Company to offer significant
tax advantages to incoming UK-based shareholders, both corporate and private.
During the UK trip, STI management
also met with several pre-screened firms in order to select a team of professionals
that will be required to secure the AIM listing. The team will include
a nominated advisor ("NOMAD"), nominated brokers, a solicitor to STI and
reporting accountants. Based on these meetings, final selections are expected
within two weeks.
During and pursuant to the AIM listing
process, STI will continue to adhere to both Canadian and US Security Exchange
Commission regulatory requirements as British requirements are introduced.
About SHEP Technologies Inc.
SHEP Technologies Inc. owns SHEP
Limited, a corporation based in the Isle of Man with operations in Taunton,
England and in the United States. SHEP Limited has designed and developed
proprietary energy technology for application in the global automotive
sector.
The SHEP System, using electronics
and proprietary hydraulic pump motors, captures otherwise lost kinetic
energy generated during vehicle braking, and utilizes this recovered energy
for vehicle acceleration during the inefficient low-speed acceleration
phase. Under a controlled test environment at one of the world's largest
automotive manufactures, significant fuel savings, together with reduced
engine and brake wear and tear, were realized.
The SHEP System is intended to be
equally applicable to delivery, service and passenger vehicles of all sizes
and variety. Optimal use of SHEP technology is anticipated in high density
urban traffic environment where acceleration and braking cycles are frequent
- accordingly buses, trucks, taxis and subway systems could be ideal applications.
The Company anticipates licensing
its "Stored Hydraulic Energy Propulsion" (the "SHEP System") to automotive
manufacturers and their Tier 1 suppliers. Hydraulic propulsion is being
embraced by OEMs in the automotive industry. In particular, SHEP components
are incorporated as an integral part of one of North America's major auto
producer's hydraulic power assist-equipped development vehicles, which
passed formal 'Proof of Concept' in December 2000 and is now positioned
for the 'Implementation Ready' design, development and testing phase.
ON BEHALF OF THE
BOARD OF DIRECTORS
Malcolm P. Burke,
President and Chief Executive Officer
Statements about the Company's future
expectations, including future revenues and earnings, and all other statements
in this press release other than historical facts, are "forward-looking
statements" within the meaning of Section 27A of the Securities Act of
1933, Section 21E of the Securities Exchange Act of 1934, and as that term
is defined in the Private Securities Litigation Reform Act of 1995. The
Company intends that such forward-looking statements be subject to the
safe harbors created thereby. Since these statements involve risks and
uncertainties and are subject to change at any time, the Company's actual
results could differ materially from expected results.
Specifically, the listing of the
Company's shares on the Alternative Investment Market is subject to a number
of uncertainties beyond the control of STI.
CUSIP #: 823222104
--------------------------------------------------------------------------------
Contact:
SHEP Technologies
Inc.
Malcolm
P. Burke, 604/689-1515
info@shepinc.com
www.shepinc.com
--------------------------------------------------------------------------------
Source: SHEP Technologies Inc. |
Charts Provided Courtesy
Of TradePortal.com |
