I have been racking my brain in the last few hours trying to figure it out what this big deal JB is working on and why Power Pizza is happy with waiting it out... Also with some information I have which I will no post here ... Furthermore, with JB is capping A/S at 250 million and insiders give share back to the treasury for the past CD ... Together with JB's background with Goldmansach urban business development ...
I(speculate) that this might have something to do with big financing deal to back his business plan to create a new YUM brand. Power Pizza is pulled in to use in negotiation as well as Famous Eddie's history. I think this is why we have developments we have had. If I am right, we will have few announcements in series after all are done. This will include either R/S or increase in A/S. But I want the R/S instead of A/S. With R/S and all the right steps, share price will be well qualified for up listing.
With information I know, this is the only thing that makes sense. Now I wonder how close JB is to striking the big deal. Having said that, if I am right, this deal can be signed or agreed upon at any moment. Once this happens I think the R/S and name change will simultaneously happen. Then news news news and the complete of Power Pizza deal. I don't want to get caught not having shares when the news hit.
Imagine if $5 million or $10 million funding hit the wire, what will it do to the price of EEDG.
I want to remind everyone that California Pizza was offered $100 million from Pepsi for 67% ownership of the franchise in 1992. That was only 7 years after it was in business. It started with $350K in loan and $200K of owners' cash in 1985. At the time there were 26 location.
So $100 million in 1992 is about $200 million in today's money. That's for 26 locations. $200/26 = $7.6 million per location (today money). That's for 67% ownership.
Say Power Pizza has 7 locations and with FE = $7.6 x 7 = $53 million. That's for 67% ownership.
Ok, how about if we to value Power Pizza and FE at just 25% of that = $53 million x 25% = $13 million for 67% ownership. 100% ownership would be near $20 million.
Remember both JB and CEO of Power Pizza seem to indicate that this partnership will be 49%:51%. JB must have a card to be able to strike such deal. What else this big deal he is working on to be? It points to super HUGE financing deal. This explains why RBBI is JB's goal.
Does this make $300K market cap right now just a huge bargain?
