Hobo, I agree. I'm trying to figure out the Allyes value as an IPO. I figure the value is somewhere between $600million and $800million. As the IPO gets structured, maybe it gets bought outright by a SOHU or Google China similar to the CGEN scenario. That would be a good thing for shareholders (a min of $4.51/share). Although I really like the Allyes growth potential as a lever to FMCNs OOH value lines. And if the value gets set that high what is the rest of FMCN really worth?? I have to TRUST my gut that I will MAKE money with FMCN in 12 months and that upgrades will happen after each quarter until then.
I think the only good news we can make out of what management has gone through this year is they realize they have to optimize shareholder value now. No more aggressive blind acquisitions. Take what you have, and restructure it to the maximum value, is what I am getting from them now. Allyes ipo is part of it. Their mention of not doing any more acquisitions while limiting capital spending next year is another part of it. Their restructuring of CGEN is part of it. My only hope is that they really threw in the kitchen sink on their guidance. Obviously if you add up all the parts of their company, it adds up to a lot more than the current share price. They have plenty of cash on hand, so at least apart from all the things they have announced so far, they can help shareholders and themselves out more by turning enterprise metrics into real metrics rather than earnings a few basis points of interest.