And don't forget, they also lose around 15% of their profit to self-employment taxes versus roughly half of that if they were a W-2 employee.
You are correct. In their presentations, using comparable REITS, they anticipated CSAL to be worth in the low 40s. I think they should have been more patient. CSAL is finally getting some recognition for its diversification strategy and the reliability of the dividend is more understood and likely. With the quick bounce back to the pre-offering price, I think it shows WIN/CITI sold too cheap.
Not exactly. Once they announce the price for the shares, it means they have placed all of the shares available and that is the price it took to get them all sold. As the market action has indicated, there are no more shares to be had at the lower price.
You are a bit confused. The shares were traded (privately) to debt holders who had Citi sell them in a public offering registered by CSAL. Therefore, the actual buyers of the shares are the normal individuals and institutions who are looking to hold this sort of higher dividend yielding stock, not debt holders. The market has done the normal catch back up to the price preceding the secondary offering.
You are still posting nonsense. Fluctuations in a stock price do not make a company fraudulent. You are are posting false information.
There is no dilution to existing shareholders. These shares already existed. It is no different than any other sale by a large existing shareholder. I do believe Citi did a poor job of underwriting the shares and/or WIN let the exchange price be set to low, if they are "giving away" the shares at $26.01 compared to recent trading prices.
That would be logical but the market never is. These are not new shares; therefore, there is no dilution to existing shareholders.
You have been reported for abuse and posting utterly false information. This company exists and has its books audited by reputable auditors.
Hope they do leave. They should be required to purchase or lease medallions (or some equivalent license fee) as part of the regulations to truly level the playing field.
From press release: "Communications Sales & Leasing, Inc. ("CS&L" or the "Company") (Nasdaq:CSAL) announced today that it has entered into a definitive agreement to acquire privately-held Tower Cloud, Inc. ("Tower Cloud") for $230 million in cash and stock. Tower Cloud is a leading provider of data transport services, with a particular focus on providing infrastructure solutions to the wireless and enterprise sectors, including fiber-to-the-tower backhaul, small cell networks, and dark fiber deployments. Tower Cloud's fiber network currently consists of 90,000 fiber strand miles in service across the southeastern United States, with 181,000 fiber strand miles awarded for future deployment for the major wireless carriers."
Shorts are trying to make BSPM look bad on a huge pre-market indicated up day for the overall market. However don't let the temporarily lower price fool you; only 1879 shares traded. We should give the shorts who entered from the Friday highs on down a run for their money this morning!
Not likely. Seems to have support in the $5.50 area for now and the general market has turned positive. I doubt the shorts will want to remain short overnight in this volatile stock so depending on the ultimate support area this afternoon, there should be some support from shorts covering before the close.
Not so far. They have pushed it back down with blocks now around $5.80 each time it tries to rebound. We had resistance and support in the $5.60 to $5.70 area. That could be a short term low area before another attempt to go up again today.
Buyers took out a block at $6.05 offered on the way back up. Will the shorts have to pay up today?
Quite a few blocks of 5000+ shares were sold after BSPM reached its daily high ($6.38) and for the very short term drove the price back below $6. These are likely new shorts and if they are, will they be brave enough to stay short overnight? We shall see.