Holy hell mr. sheldon grodsky, a slew of goyim from ohio just took on wasileliasizxhiki or whatever the guy's name is. The best part of their letter was the request that ALL expenses be looked at. Hint, we are going to get a board seat and fire your #$%$ unless you make serious improvements.
They expanded the Wells Fargo line. This purchase is a long overdue first step into remote communicative medical technology. Why go to the doctor when you can wear a patch with a USB dongel and wire the results in - this is a huge purchase, and the earn out targets are easily met. This means that NSYS is now a full service life science company just when the worst generation and largest generation ever, the baby boom, needs medical care due to histrionic personality disorder.
Where the heck did they get $3 million in cash from to fund this purchase?? Blowing much needed cash and adding debt is reckless when you are losing money and have little to no cash cushion.
Someone is obviously spending money at this company anticipating something big in the future. They truned out a bad q, but it is amazing that wells fargo is giving them more money and they really are spending on cap ex. My guess is they are going to buy a competitor. I am down 10% on the holding and it is bigger than sheldon's shlong.
Abba or Zaida,
I think you misread my reply, as I was writing about Myron's death, not Anita's.
They are better off not claiming a discount for now.
And no matter what they do, I don't see them getting to keep a whole lot of money after the three layers of tax they caused themselves:
Gain of sale of NSYS stock (reported inside CS), Tax on liquidation of CS, and estate tax.
So, they'll probably just keep this thing forever.
I have a sentimental weakness for my children, and I spoil them as you can see; they talk when they should listen.
When the wife dies, the assets of her estate and the QTIP trust will be subject to tax. by having the QTIP own 49%, it gets a discount, and is not attributed to the estate of the wife under mellinger and other cases.
it is clear that the family has chosen to sell all the chazzerai art and keep this stock. they could have sold this stock when iron mike died and moved on. they did not.
Where in the 13D do they mention claiming a discount?
There should not be any estate tax tax on Myron's passing.
When the appraiser's value Curtis Squire, they will have to value each of the corporation's assets. The NSYS position should be afforded a blockage discount.
However, I believe the rules of attribution will apply and they will consider the rights that Anita possesses as it relates to the NSYS position, which will bump it back up due to majority control.
The NSYS stock inside Curtis Squire (CS) does not get revalued, only the stock OF Curtis Squire does.
So if NSYS is sold, the first tax that needs to be paid is by CS at the corporate level using the basis that is on the books.
Next, when they liquidate CS, they could use their CS stock basis upon liquidation.
Seems like the best tax planning would have used a partnership not a corporation.
Not lately, all my shares of recent vintage are under 5. The 13D is telling, someone is planning to claim a discount for the shares in the surviving spouse's estate. they have just under 50% in the family corp, and the spouse has the swing premium. When she dies, it looks like there will be a discount. They are planning to keep this thing for the next generation - they sold all the art to pay the estate tax, did not sell a single share of the stock.
This thing breaks like 2500 shares and goes up 8%. I wonder if i am getting too old for this. If they put up 10% q over q growth, this thing might go up 10% in a day.
NSYS is afforded it's low valuation because of the family's controlling interest. All other shareholders have no say. That's why no activist is interested. As a shareholder, you basically have to wait for the family to sell the company, or start issuing dividends.
Eventually the market will reflect the intrinsic value, but how long are you willing to wait for that to happen?
Is the opportunity cost really worth the wait?
it is a very easy comparison to get a 10% bump YOY here. So a life science company with a 15 dollar true book value growing the top line 10% YOY and the bottom line likely alot more because they have no rents costs almost except for biinarvile
It's the latest pump by Small Cap IR. In a day or two, there will be a report issued by an "analyst" that is paid to produce the report by the owner of Small Cap IR. It may or may not show up on the Yahoo! news feed, but probably will.
They are probably getting rid of the other leases. It looks like they got a good deal at 50 cents a square or so, with a 5 year option. This means that except for the HQ office, they own all their buildings. The lease costs are minimal so overhead will be down next year.
remember q1 last year was 26 million and it seems that the CFO now in place knows how to collect receivables so we should see some good cash flow. also, the cap ex may be way down.
I am buying this week another 20,000 shares. I have alloted a total of 400,000 to this investment and have only spent 270,000 or so.