Recent

% | $
Quotes you view appear here for quick access.

Firsthand Technology Value Fund Message Board

  • blummie1000 blummie1000 Oct 7, 2013 2:14 PM Flag

    Did SVVC buy the entire medical company?

    The new purchase today was very interesting but had to figure out. It looks like SVVC is buying a medical company in bk. Can anyone explain?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • On October 4, 2013, Firsthand Technology Value Fund, Inc. ("SVVC," "Company," "we" or "our") completed a private placement transaction and issued 515,552 shares of its $0.001 par value common stock at a price of $26.19 per share. These shares were issued in connection with the Company's acquisition of the assets of IntraOp Medical Corporation ("Old IntraOp"). Old IntraOp has developed a revolutionary medical device called the Mobetron, which delivers Intra-Operative Electron Radiation Therapy for the treatment of certain types of cancers. The transaction was facilitated by a Section 363 bankruptcy process, whereby we led a group of investors in restructuring Old IntraOp's debt obligations and provided additional cash to fund the company's continuing operations. The terms of the transaction included SVVC's providing $1.3 million in debtor-in-possession financing during the pendency of Old IntraOp's bankruptcy proceeding, issuing approximately $13.5 million of SVVC common stock, and contributing approximately $5.5 million cash. Following the closing of the transaction, SVVC owns a majority interest in the reorganized IntraOp Medical Corporation ("New IntraOp").
      On October 4, 2013, Firsthand Technology Value Fund, Inc. ("SVVC," "Company," "we" or "our") completed a private placement transaction and issued 515,552 shares of its $0.001 par value common stock at a price of $26.19 per share. These shares were issued in connection with the Company's acquisition of the assets of IntraOp Medical Corporation ("Old IntraOp"). Old IntraOp has developed a revolutionary medical device called the Mobetron, which delivers Intra-Operative Electron Radiation Therapy for the treatment of certain types of cancers. The transaction was facilitated by a Section 363 bankruptcy process, whereby we led a group of investors in restructuring Old IntraOp's debt obligations and provided additional cash to fund the company's continuing operations. The terms of the transaction included SVVC's providing $1.3 million in debtor-in-possession financing during the pendency of Old IntraOp's bankruptcy proceeding, issuing approximately $13.5 million of SVVC common stock, and contributing approximately $5.5 million cash. Following the closing of the transaction, SVVC owns a majority interest in the reorganized IntraOp Medical Corporation ("New IntraOp").

      Sentiment: Strong Buy

      • 1 Reply to myownstimulusplan
      • Thanks for the input. Well we know what value our stock is for this last qtr. 26.19. More or less we have been diluted by the 515k shares issued for this deal . So we paid a big price for this company. Hope it works. Buying a major stake in a company and being in the medical field are both out of Kent L. expertise. I wouldn't be surprised he sells some part to other investors.

    • The articles are very limited on this. But it appears he needed the 150 million to pull this off as an option for some of the stakeholders to pull up stakes if they desired to leave later. He wanted to keep the stakeholders in this one. But the risk on one company would appear this deal could dwarf any other company he invested in. I can't figure how much this one investment will be but it may exceed 40% or more if he has to pay off some of the stakeholders. So is this in violation of having so much in one company and did he just risk our twitter investment into this one. This could be a great deal or a disaster. this company was public and then went private sounds like too much risk.

    • They bought "majority interest."

      http://finance.yahoo.com/news/firsthand-technology-value-fund-completes-170851006.html

      Sentiment: Hold

 
SVVC
7.47+0.01(+0.13%)May 27 4:00 PMEDT