Blog Exposure – Cartesian’s Board Approves Takeover by Private Investment Company Blackstreet Capital Holdings
Stock Monitor: Information Services Group Post Earnings Reporting
LONDON, UK / ACCESSWIRE / March 26, 2018 / Active-Investors.com has just released a free research report on Cartesian, Inc. (NASDAQ: CRTN). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=CRTN as the Company's latest news hit the wire. On March 22, 2018, the Company disclosed that its Strategic Review Committee and Board of Directors have unanimously approved the proposal from an affiliate of Blackstreet Capital Holdings to acquire the Company. Following the completion of the all-cash transaction, Cartesian will become a privately-owned Company. Register today and get access to over 1,000 Free Research Reports by joining our site below:
www.active-investors.com/registration-sg
Active-Investors.com is currently working on the research report for Information Services Group, Inc. (NASDAQ: III), which also belongs to the Services sector as the Company Cartesian. Do not miss out and become a member today for free to access this upcoming report at:
www.active-investors.com/registration-sg/?symbol=III
Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Cartesian most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
www.active-investors.com/registration-sg/?symbol=CRTN
Cartesian had voluntarily delisted its shares from the NASDAQ exchange in November 2017 and listed the shares on the OTCQB market instead. Immediately following the delisting of shares from the NASDAQ exchange the Company had announced that it is exploring strategic alternatives for its business. The current transaction is a result of the strategic review by the Company's Board.
Details of the Blackstreet's proposal
Under the terms of the transaction, Cartesian will be acquired and merged with one of Blackstreet's affiliate. As a first step towards that completion of the acquisition, Blackstreet plans to make a tender offer via its affiliate to acquire all outstanding shares of Cartesian. The Blackstreet's affiliate will offer $0.40 in cash for each Cartesian's share. The offer price represents a 137% premium over the Company's share price at the close of trading on March 21, 2018, the last day of trading before the announcement.
If the Blackstreet's affiliate can successfully acquire a majority of the Company's shares but less than 90% shares, Cartesian plans to get the shareholders' approval for the merger. Shareholders who did not participate in the tender offer will receive $0.40 in cash per share. In this scenario, the Company plans to schedule a shareholders meeting within 60 days to 90 days of expiry of the tender offer. If 90% or more Cartesian's shareholders participate in the tender offer, the transaction can be completed by a simple resolution adopted by the Board of Directors of the Blackstreet's affiliate acquiring the Company.
The Company is unable to continue with the transaction even with majority shareholders participating in the tender offer as its shares are not currently listed on the stock exchange. Statutory norms under the Delaware law prevent Cartesian from proceeding with the merger without shareholders vote even with majority shareholders participating in the tender offer.
The Company expects the deal to close in June 2018 or July 2018 as soon as it receives shareholders' approval for the deal (if shareholders' voting is required). The deal is not subject to any financing condition and is subject to receiving regulatory and shareholders' approval and other closing conditions.
Once the deal is completed, the Company's shares will cease to exist and stop trading on the exchange.
Armory Securities, LLC acted as the financial advisor and Stinson Leonard Street as legal counsel to the Company's Strategic Review Committee for this transaction. On the other hand, Blackstreet Capital Holdings had Manatt, Phelps & Phillips LLP as legal counsel for this deal.
Management comments
Commenting on the merger with Blackstreet, Donald J. Tringali, Executive Chairman of Cartesian, said:
"For several months, the Strategic Review Committee of the Board and its financial advisors have been seeking strategic alternatives for the Company. We view this announcement as good news for our employees, good news for our customers, and good news for our shareholders."
Murry Gunty, Founder and CEO of Blackstreet, stated:
"We are pleased to have the opportunity to work with Cartesian's team to serve its world class customer-base going forward. We look forward to the completion of the transaction and providing a long-term home for the business."
About Cartesian Inc.
Cartesian is a specialist consulting firm focused on the global telecommunications, media, and technology industries. The Company has been in this business for over 25 years and uses a combination of analytics, technology, and industry experience to help clients with the right solutions to push them forward. The services provided by the Company include strategic advice, management consulting, managed solutions, etc.
About Blackstreet Capital Holdings LLC
Founded in 2015 by Murry Gunty, Chevy Chase, Maryland-based Blackstreet is a privately held diversified operating Company that owns and manages lower middle market businesses. The Company seeks investments in debt and equity of lower middle market businesses or corporate orphans that are in out-of-favour industries or are undergoing some form of transition. The Company invests in a range of industries including education, manufacturing, sports and entertainment, distribution, retail, technology, consumer finance, and franchising.
Stock Performance Snapshot
March 23, 2018 - At Friday's closing bell, Cartesian's stock advanced 1.05%, ending the trading session at $0.39.
Volume traded for the day: 560.13 thousand shares, which was above the 3-month average volume of 82.44 thousand shares.
Stock performance in the last month – up 149.03%; previous three-month period – up 90.81%; and year-to-date - up 136.81%
After last Friday's close, Cartesian's market cap was at $1.74 million.
The stock is part of the Services sector, categorized under the Management Services industry.
Active-Investors:
Active-Investors (A-I) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. A-I has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
A-I has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third-party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email info@active-investors.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by A-I. A-I is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
NO WARRANTY
A-I, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. A-I, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, A-I, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither A-I nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://active-investors.com/legal-disclaimer/.
CONTACT
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Email: info@active-investors.com
Phone number: 73 29 92 6381
Office Address: 6, Jalan Kia Peng, Kuala Lumpur, 50450 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Active-Investors
