Same old, same old. The Market is up bigtime and ACAS is doing basically nothing. Boggles your mind. At least mine it does.
Your thinking just doesn't make sense. You would risk 1/2 of your principal for the sake of a dividend? With an Annuity you are guaranteed an income for life and a residual payoff to beneficiaries. And if ARR should sink to $2 a share I would think the dividend would have been suspended.
$14.66 is the Close before the announcement of Earnings and the Restructuring. We've already touched it today. Didn't think it would retrace 100%.
All us long term holders have to do now is have a little more patience. We now know the endgame (Restructuring/Spinoffs) are on their way. And this discount will more than disappear, I'm sure.
They cannot sustain the current dividend and will announce a reduction by at least .01/monthly starting in January. That will ignite a sell-off which will bring the SP to new lows possibly.
There was no mention whatsoever regarding any potential reduction of ACAS shareholder's current holdings to effect the anticipated dividend of shares from the newly formed spin-off companies to current ACAS holders. If that were the case, Management would have disclosed it as part of the framework for the spin-off.
The Jaded Consumer stated in his SA Article yesterday that the current reported NAV ($20.52) does not take into account the 54.1 million Outstanding Options which would be included to determine NAV on a fully diluted basis. If all those Options are exercised the true NAV would be $18.22 resulting in a current discount to NAV at around 13%. The Jaded Consumer says that the fully diluted figure will be factored into NAV determination at the time the spin-offs commence. So with that taken into account, it would appear that the Upside on the SP prior to the actual spin-offs will have limited growth from the current price.
Yeah, I listened to the call. All that was said was that they have paid out .04 more than on requirements for taxable income and that investors can expect non-taxable treatment on the .04 as a return of capital. Nothing was said regarding dividends in 2015.
Sorry, didn't realize we were getting new shares. So we will get additional shares to add to our current holdings?
I don't understand why there would be any need to convert those 2016 Options at any point before the option expiration date unless you anticipate the options to sell-off. Yes they may go down at a dividend expiration date with dividend adjustment of the SP, but how much would the SP go down? $.30 on a $1.20 annual dividend. And then the Options Spreads may indicate that the SP is going to bounce back in the upcoming day(s).
NMB, now that the restructuring has been announced should we expect the daily volume to expand from aggressive institutional buying?