New buyback is huge % of real shares avail to purchase
the new $30 mil buyback is huge relative to the real number of shares available to purchase after you back out Expedia and Tencent's ownership in eLong. This is a HUGE buyback when you factor in the true float, true number of shares available, etc. after you back out ownership by the primary long term stockholders of eLong. Far less than 6 mil shares available IMHO so the buyout could take well over 30-45% of real available shares off the market at prices under $11.50. Expedia and Tencent control the board at eLong. A stock buyback at eLong is basically Expedia and Tencent executives approving eLong to take non Expedia owned and non tencent owned elong shares off the market. This ups their own ownership %'s in the process. This is the 4th-5th time Expedia has increased their ownership in eLong and the 2nd time (at least) that their own executives have authorized stock buybacks at eLong.
The float is almost gone. this has been a stealthy, quiet buyout of eLong by Expedia/Tencent and nobody on Wall St is even noticing
eLong grew hotel room bookings by 67% year over year last quarter. over 5.5% a month in growth. you rarely see numbers like this. this is why they want to own more and why this stock goes to $30-$40