Nanotechnology III

Since there are so many penny stocks related to the nanotechnology boom that are already up in big volume, I will list them today. Some of them are RISKY and NOT TRUE NANOTECH STOCKS!

Nano-Proprietary (NNPP.OB, $2.80 on 12/10/03) - Nano-Proprietary has over 100 patents and its subsidiary Applied Nanotech is developing the carbon nanotube technology for the manufacturing of flat screen displays, x-rays and microwave generators. The carbon nanotube also may have applications in biological sensors, nanotransistors, solar cells and fuel cells. There are rumors that its nano flat tv will be available by June 2004.

Nanopierce Technologies (NPCT.OB, $0.295 on 12/10/03) - BEWARE! Nanopierce Technologies is not a nanotechnology company. It developed the NanoPierce Connection System, a better way to make electronic connections that can replace conventional methods such as soldering, spring-loading or pin-in-hole connectors decreasing space requirements to 90% of the space spent in process today. Its NCS technology can be used in smart labels and the company even have a partnership to benefit from a RFID boom. This company can improve the chip making but it is not a nanotech stock.

Starpharma Pooled Development (SPHRF.PK, $0.47 on 12/10/03) - Starpharma is an Australian company that develops the dendrimers nanotechnology. Dendrimers are synthetic nanoscale structures made of molecules that branch out like trees. While regular polymers are chaotically formed, dendrimers are uniform. Their virtue is precision, but there are no known applications for dendrimers yet. It is said that dendrimers could be used to build microscopic capsules for drug delivery or to build nanoscale machines, but the cost to produce dendrimers has been prohibitive. Their dendrimer-based gel for prevention of HIV and STDs in women is expected to be available around 2007.

Obducat AB B Shares (OBDCF.PK, $0.19 on 12/10/03) - Obducat is a
Swedish company that supplies technologies for production and analysis of micro and nano structures and microelectronics. The market Scanning Electron Microscopes and nanoimprint lithography equipment (it writes nanoscale patterns on surfaces using electron beams).

Biophan Technologies (BIPH.OB, $0.43 on 12/10/03) - Biophan uses nanotechnology to shield magnetic resonance imaging devices and reduce interference that affect its images. Biophan's CEO will speak at the NanoCommerce 2003 (started December 9^th).

Royal BodyCare (ROBE.OB, $0.37 on 12/10/03) - Royal BodyCare markets nutritional supplements and oncology and personal care products. They have what they called nanoceuticals, which include molecular cages that release antioxidant dietary supplements when exposed to moisture and nanosized powders that reduce the surface tension of foods and supplements to increase nutrient absorption.

MFIC Corp (MFIC.OB, $1.55 on 12/10/03) - MFIC Corp produces systems for grinding materials for biotech and pharma companies. MFIC has just patented a device for the continuous production of nanoparticles and nanomaterials and is researching nanopolymer creation for drug delivery and other applications.

NanoSignal Corp (MSGL.OB, $0.11 on 12/10/03) - Formerly MicroSignal, NanoSignal markets MRI data processing software. In their announcement of name change, they said they were planning on developing 'nanotools' of medicine.

Pacific Fuel Cell Corp (PFCE.OB, $0.21 on 12/10/03) - Pacific Fuel Cell owns rights to its Proton Exchange Membrane fuel cell technology. They developed a fuel cell using carbon nanotube-based electrodes that can reduce the cost of manufacturing fuel cells and they expect joint ventures to commercialize this technology.

US Global Nanospace (USGA.OB, $1.18 on 12/10/03) - US Global Nanospace develops anti-ballistic faceplates with nanoscale weaved material for vests, cockpit doors and land mine protection in military vehicles. Its nanofilters can reduce the spread of air spread infectious diseases in air travel and toxin transmission in tobacco products.

NNPP.OB $2.80 on 12/10/03	NPCT.OB $0.295 on 12/10/03
SPHRF.PK $0.47 on 12/10/03	OBDCF.PK $0.19 on 12/10/03
BIPH.OB $0.43 on 12/10/03	ROBE.OB $0.37 on 12/10/03
MFIC.OB $1.55 on 12/10/03	MSGL.OB $0.11 on 12/10/03
PFCE.OB $0.21 on 12/10/03	USGA.OB $1.18 on 12/10/03

Scam Dogs & Mo-mo Mamas / Reverse Merger

This is the book I finished reading recently. Using a humorous tone, The Wall Street Journal senior writer, John R Emshwiller, describes the world of penny stocks trading (well, they are sold for pennies before pumped) in the days of the dot com boom when the internet trading was in its infancy.

In it, for the first time, I saw the "stock symbol" ABCD being mentioned: "Amalgamated Baloney and Consolidated Drivel". The wildlife of the internet stock trading is described and characters such as Tokyo Joe, Anthony@Pacific (short seller) and Steve Pluvia (short seller) are profiled. But most importantly, I read an explanation about reverse mergers.

A lot of companies went through the time-consuming and expensive SEC process to be listed as public companies. Many of these fail but still exist legally with (most likely worthless) shares in the market. Some private firms looking to go public contact these failed public companies and merge with them. The shell company "acquires" (sort of) the private company and the "owners" give the majority of the public company stock in exchange, effectively transfering the control to the owners of the private firm. Frequently, the new owners change the public company name to match the formerly private firm name.

That is a reverse merger. It is legal and used by legitimate business owners, but can also be used by crooks to avoid the government's attention.

The writer John R Emshwiller also is co-author of "24 Days", a book about the Enron crash.