Well VIVO bit the bullet today, and everyone bailed out. We traded over 10X normal, and hit a low of 2.43 I was a small buyer today, adding to my long term holdings. Why? Meridian will solve/handle the FDA situation. The FDA inspectors are not demons,just bureaucrats. Plant mgr probably screwed up in the Gull transfer of (new products) manufacturing. Its fixable with some time/money/consultants and probably new plant and QA managers. Shifting the new ( Gull) products out of house is a reasonable alternative, and other companies would welcome the work, and at a reasonable cost. Not a big deal, and sence there is no great value in just manufacturing and boxing up the diagnostics, its not a bad way to go. I did it for 4 years in the 90s, profitably, with low tech diagnostics. The financial hit is mostly accounting hits. Real question is (A)--will they continue with the dividend? I hope so for it supports the stock price. (B)-new products--we need some more routine and at least one biggie product early this year. (C)-Why was management asleep as to manufacturing problems? Did they not check? Or read a report? Walk down and chat with the plant/QA mgrs.No inkling during coffee breaks that the plant was in trouble? These questions trouble me, but at under $3.00/share, I am a small buyer and can wait 12 to 18 months. And I want the dividend to continue!
From just south of you on Marco Island, I wish I shared your optimism at this time... but Motto has a lot to prove so soon after the annual meeting... this is a lot to digest from the infamous leader of VIVO!
Agree that the "old" hand has some scrambling to do. But most/a lot of his wealth and his his whole working life is tied up in Meridian. Dont think he will allow it to go away. Thus the rebound in share price. Also, that was one plug ugly news release on quarterly earnings. No sugar coating. It will be interesting to see if the insiders "buy" on this Plunge in share price.