SEIDMAN LAWRENCE B 12/31/2015 861,798 (158,090) (15.5) 14,616
Plus, it looks like they have to borrow to pay it. So the net return to shareholders is basically nothing.
Changed my mind on going private ... not so likely to happen, because insiders don't own enough stock.
I would pretty much take this as a negative.
Seems pretty clear RICK is looking for more capital, whether debt or equity! In a slowing economy, that wouldn't be good.
The Market is dumping small cap stocks. If earnings are good, it will just be a better selling opportunity!
However, with oil crash devastating RICK's home base, earnings won't be good.
PIPE deal soon.
I think franchises are hard to sell without regional/national advertising to offer - that's a big part of what franchisers offer. Like BWLD ... it's one big ad machine.
"definitive evidence of what a willing buyer is prepared to pay" ...
What circular logic ... we sold at a fair price because that's what they offered. That is ... the sophisticated buyers.
... the $48,500,000 cash from the mysterious "prospective investor."
Prospective? That doesn't sound good.
"Sales figures for 1Q16 and the year ago period are being reported net of sales taxes and other revenue related taxes, RCI having chosen to early adopt new revenue accounting standards."
Shocking! I would be careful here ... they don't want it to look good!