Hes done it before. wonder if he can get this one a great acquisition.
Footstar: Footstar was a discount shoe retailer selling its products through footwear departments and wholesale arrangements, primarily through Kmart and Rite-Aid. In early 2004, Footstar filed for Chapter 11 bankruptcy and emerged in April of 2006. Subsequent to its emergence from bankruptcy, the Company decided to liquidate (in May of 2008) and Couchman was brought on the board. By 2010, Footstar had amassed a NOL of $122.7 million. Eventually Couchman's duties expanded from Chief Wind-down Officer to CEO and CFO. After the wind-down of the Company, Couchman began pursuing strategic alternatives to monetize the valuable NOL. On 01/03/11, Footstar announced it would be acquiring CPEX Pharmaceuticals for $76.0 million financed with $64.0 million of debt and some equity. CPEX was a specialty pharmaceutical company commercializing a proprietary drug delivery platform technology. At the time of the acquisition, CPEX had licensing agreements and received royalties on its technology from Auxilium Pharmaceuticals, Inc. and Allergan Inc.
After the last ex-dividend date on 09/30/10, Footstar traded at $0.39 and by the time the CPEX acquisition closed on 04/04/11, the stock closed at $0.95, representing a 143.6% return.
Your stock trades are your own responsibility. No one forces you to make the trade. Always take responsibility for your own decisions and you will never have anyone else to blame
