The just issued 10Q states they entered the agreement on Aug 27th to sell the company at .27 and that is after it had been trading at .34 or above, all the way up to .55 in the recent weeks. This did not fulfill their stated strategy of enhancing shareholder value. The vote was unanimous too which means they must have been offered incentives beyond the share price IMO which are not apparent to us non-insider-shareholders, or they are just plain all stupid.
yeah the iWatch is a very small display. You'd have to sell like 4000 of them to match the OLED used in a an LG AMOLED TV. So far response to smart watches has been lackluster. Anyway they aren't there yet. Apple may find itself behind the 8 ball not converting to AMOLED but LED backlit LCD is pretty good. I think Super AMOLED is a little better with some advantages, but not cheaper.
FYI - Pt is now in extreme oversold territory from a trading perspective with RSI=25. This might trigger some technical buying. I thought it would not go below 30 but was wrong. I just read this (googled pt price news).
This time around, the distress in the industry was not offset by a high platinum price as was expected. The reason was an oversupply of metal in the market created by the companies who forecast a higher demand for the metal, for which they increased production accordingly.
The industry thought demand would grow in response to new emissions regulations. Car component manufacturers would require more platinum, as it was expected that more metal would be needed in the manufacture of an autocatalyst to adhere to emission standards.
But automakers have so far managed to meet these standards by using the same amount of metal, if not less, and also found substitutes such as palladium. Recycling of the metal has also helped to regulate demand.
As a result, there is more than a year’s supply in excess, which keeps the price steady at $1 400 per ounce despite turmoil in South Africa, which produces almost all the world’s platinum.
I thought Pt would base at above 1400 but it is now 1382! supply demand economics not working as thought. Might be people rotating out of metals for equity.
No that trade would not be voided. FYI - I am just one of the plaintiffs, hoping to block the deal. I figure the worst case for shareholders is the deal goes through at .27. Else they just keep growing the company while holding costs down.
FYI - re profits:
Analysts increase the earnings estimates for the current qtr, next qtr and 2014 and 2015 on a monthly basis - and BX has a strong record for beating! I hope it continues! It is seeing strong growth as well as increasing dividends.
(Ests for Sep, Dec, 2014, 2015)
Today: 0.98 1.06 3.86 3.67
7 Days Ago 0.98 1.06 3.86 3.67
30 Days Ago 0.95 1.04 3.83 3.63
60 Days Ago 0.83 1.00 3.18 3.54
90 Days Ago 0.82 0.99 3.14 3.56
I misread something - I must be seeing things! I feel there is a conflict of interest though. They get to keep their jobs apparently and keep operating as a subsidiary but get to cash in on all their stock at most likely double what any of them paid for it. They share a 10 million booty and keep getting paid. I wonder if they get options in the new company? Still they sold short. Sold retail shareholders very short.
CHICAGO – May 15, 2014 – Water Street Healthcare Partners, a strategic investor focused exclusively on the health care industry, announced today that it has invested in Orgentec Diagnostika, a specialty diagnostics company headquartered in Mainz, Germany. Water Street has committed equity to both acquire a majority position in Orgentec and invest in future acquisitions and initiatives that will build the company into a global leader of specialty diagnostics products. Scott Garrett, former chairman and CEO of Beckman Coulter, Inc. and a senior operating partner with Water Street, will serve as chairman of Orgentec.
OK Fine but guess what - I've discovered a huge conflict of Interest here which in and of itself will be enough for the SEC to nullify the deal.
1. Corgenix retained Inverness Advisisors to "advise" them on how to enhance shareholder equity.
2. Inverness Advisors just happens to conduct all its "securities business through KEMA Partners LLC, a FINRA member "
3. KEMA Partners just also happens to own Water Street which owns the company Orgentec Diagnostika which bought Corgnenix.
Unless Corgernix was aware of this conflict of interest, I think Corgenix can now sue KEMA, and or Inverness Advisors and escape this death trap deal not only without paying a penalty but also for not disclosing their conflict of interest.
I wonder if they could offer to buy themselves for 15 million more, then see if this buyer from the twilight zone counters it.
The deal ultimately detracted from shareholder value. This was counter to their strategy. I imagine they feel it was a mistake now, feel like suckers in the lime light. They were taken to the cleaners. They did not negotiate well and that may attributed to inexperience and a lack of understanding. They got a bad deal for us when they sought a good one. Anyone trained in negotiation knows that you should always maintain your alternatives, one being the ability to walk away. They got a bad price, and agreed to exclude the possibility of accepting better offers. It just doesn't even smell right. I wonder who can account for these conditions because they are inherently detrimental to shareholder value which is the opposite of what their stated stragegy to enhance shareholder value.
Since there was not a single benefit, and apparently one significant disadvantage (being the 25% evaporation of the shareholders' equity value) to public shareholders in this transaction, it can only be deduced by simple reason that there had to have been a motive in hand for some or all insiders eagerly signing this deal to which shareholders were not privy. I say eagerly because it must have been signed in March, almost as soon as they retained their advisors on March 12th because they otherwise why would they sell at a reduced price, when the announced they were setting out for the purpose of enhancing shareholder value. This is from the realease: "Corgenix Medical Corporation (CONX), a worldwide developer and marketer of diagnostic test kits, announced today that the Company’s Board of Directors has decided to explore strategic alternatives to enhance value for shareholders. These alternatives could include, among others, possible joint ventures, strategic partnerships or alliances, a sale of the Company or other possible transactions.
President and CEO Douglass T. Simpson said, “Given the positive financial results recently reported and current share price, we believe that now is the right time to explore strategic alternatives. We will continue with our strategy of reducing cost, driving efficiency and pursuing opportunities provided by our cardiovascular biomarker technology and contract services business.”
Inverness Advisors, a division of KEMA Partners LLC, is serving as financial advisor to Corgenix.
And now 10:30 with 10 times the normal volume, still at .40. This looks to me like a block trade that was agreed to at a certain price and it is being done on the OTC. The volume is high but in a tight range so that is what I'm thinking.
I noticed the high volume today over 40000 shares and the bid at the close was .395 and ask .40. It is nice to see a little volume and have the spread narrow toward the ask! Ideally and this universe was designed to have ideal results, so I imagine IDND will soon begin receiving its orders from PepsiCo China and Coke India as they lead the beverage world into the 21st century by adopting the latest IDC aseptic tap technologies. Imagine! You may say I'm a dreamer But I'm not the only one and I hope someday you'll join us And the world will be as one. And we will be able to cash in on IDND at much higher prices and have reduced financial stress too.
I just want to say you are right about 'play safe'. I have learned to limit my losses and take profits, giving some respect to the basic technicals. It helps growth over time! In non-performing times I tend to rotate into one or two dividend stocks. But still learning and I am now considering using some articificial intelligence to help.