This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Mentor Capital On High Growth Path With Planned $32 Million Health Care IT Investment

Mentor Capital, Inc. (OTC Markets: MNTR) has entered into a $32 million letter of intent with a rapidly growing Health Care I.T. company currently servicing medical practices in over 20 states. Upon execution, the acquisition of $32 million of the Health Care I.T. company shares will increase Mentor Capital cancer and medical assets 330% to $42 million. Mentor has approximately 3 million shares outstanding. Although that implies $14 in medical and cancer assets per share, Mentor notes that at current prices, after allowing for the warrant exercise dilution afforded by financing the purchase, the medical assets may calculate to approximately $3 per common share.

Until the complete funding contract is negotiated, the parties have agreed not to identify their partners. In a letter to shareholders describing the investment, Mentor Capital CEO Chester Billingsley writes, “We are very positive about the growth and multiple acquisition prospects for this company in the Health Care I.T. sector. I am also impressed with the quality of their management team that has the unique hallmarks of entrepreneurial success.” After contract approval Mentor intends to hold a conference call to introduce this important new financial association.

Overall, this third investment would continue the trend of a 4,000% increase in company holdings from $1 million to $42 million in four months. It also keeps Mentor Capital on track to meet the stated management goal of acquiring an average of $10 million in medical or cancer related assets per month, which would fully allocate Mentor’s $125 million in warrant proceeds by year-end.

With some candor, Billingsley comments, “We often mention and are most proud of our socially responsible investing to develop a possible cancer cure and reduce the cost of health care. However, looking toward $42 million in assets and trailing earnings per share of $0.17, versus a recent closing bid price of $0.14 per share that implies the value for all of Mentor is $450,000, perhaps ‘undiscovered high-growth company’ may be the most important description of us.”

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs