Straight Path Communications Inc. (STRP)

[sweet crude]

The next STRP in play now (read)

HMMR hitting radars on Go Long Wireless partnership...could run like STRP

Possible Acquisition Target

The Company's ability to now reach into 49 states, both urban and rural, could position Hammer Fiber as a potential acquisition target for last mile delivery for some of the bigger players in the space, like Google Fiber (NASDAQ:GOOGL) or AT&T AirGig (NYSE:T).

Case in point, take a look at what happened to Straight Path Communications, Inc. (NYSEMKT:STRP), an owner of much sought after bandwidth spectrum. STRP held a large inventory of 28 GHz and 39 GHz millimeter wave spectrum used in mobile communications that would give a new owner an advantage in 5G development. Well this set off a bidding war between Verizon (NYSE:VZ) and AT&T that sent Straight Path stock from around $35 a share to high of $230 in just one month.

Verizon and AT&T were seeking to gain an edge in the race to develop out a fifth-generation network (5G) that would offer faster downloads and boost internet-reliant products such as self-driving cars.

Verizon won out the bidding war announcing in May 2017 that they would acquire Straight Path for $184 a share in an all-stock transaction, reflecting an enterprise value of approximately $3.1 billion.

Now some speculate that with the combination of Hammer Fiber unique 'wireless fiber' technology, and Go Long Wireless 12 GHz Multichannel Video Distribution and Data Service (MVDDS) spectrum in 49 states, that this new partnership may trigger off a potential bidding fight over Hammer Fiber like we saw in STRP back in the spring of 2017.

Hammer Fiber was last traded at around $35 per share under the ticker symbol "HMMR".

http://www.wallstreetnewscast.com/hmmr-0808/

[LouisDesyjr]

Why trading under $184?

With the Verizon deal valued at $184 in Verizon stock, anyone have any idea why the shares are at around $178?

Or is the market still somewhat in shock at the deal change from ATT to VZ?

It even looks like there are some trades where someone could buy the shares and write longer dated 180 calls and end up with more than $184.

This all assumes that the deal does go through and the final value is at least $184.

Louis J. Desy Jr.

Disclosure: I own $180 May 19 calls.

[mkinhaw]

You sure were right
great call

MK

[wiltonio]

JONAS HOWARD S has filed a new activist 13D, reporting 13.2% ownership in $STRP - https://fintel.io/so/us/strp

[MightySam]

Congrats!

[Pennystomper]

I believe they are fully out of cash to cover this.

[nymostwanted]

Gsat next in line ....

[Hulk Hogan is God]

Kerrisdale called this a short, hope they really took it up the pooper.

[jfkspire]

[MightySam]

Hope you are still holding

[SuperFlyJackson]

*5G is coming, Trump Admin Selecting Pai, Republican Controlled FCC, Net Neutrality on the chopping block.
*AT&T conducting trial in Austin of 5G Fixed Wireless Service.
*Verizon conducting trials in 10 markets of 5G Fixed Wireless Service.
*It feels as if in the past couple of months the march towards 5G has turned into an all-out sprint to get there.
*FB, AMZN, GOOG, NFLX want seat at table to ensure content delivery.
*ATT / VZ want 5G to pound away at cable, solidify dominant presence to consumer/home
*Cable will want and need to slow down ATT / VZ
*Telco/Tower/Fiber Cos want to enhance service offerings(Connectivity/Backhaul)
*39 ghz 25%/35%/40% controlled by FTWR/STRP/FCC
*FTWR has extensive 24 ghz portfolio and STRP has additional licenses in the 28 ghz band.
*Both FTWR and STRP have a near nationwide footprint in the 39ghz band and have healthy control in the major metro markets.
*Not only can ATT / VZ not risk an auction but with the speed of what is occurring, they can't wait for an auction.
*We are talking about ATT and VZ with Market Caps of $257M and $200M
*All potential interested parties in the space have a combined market cap of $2.4 Trillion
*Near Nationwide Footprint with purchase of FTWR or STRP.
*Paying $500M, $1B, $2B etc…is nothing for most of these companies to absorb to insure their place at the dance.
*If players other than ATT / VZ snap up STRP or FTWR where does that leave ATT / VZ in the 5G race?
*Not only would they be crippled but they would be seeing a rocket launcher of an asset in the hands of a threat pointed back at them.
*How many recollect the failed ATT acquisition attempt of TMUS?
*The merger ended up being shot down by the Obama administration and ATT had to fork over a total $4B in Cash and Spectrum which TMUS ended up using like a billy club to whack the hell out of ATT, S, and VZ in the wireless space.

*Here are all the potential players and their market caps. It seems apparent that buying out a Fibertower or Straightpath for $1B is a fly on an elephants back for most of these:

Content - Facebook - $383
Content - Amazon - $399
Content - Google - $581
Content - Netflix - $60
Cable - Charter - $102
Cable - Comcast - $181
Cable - Altice - $22
Telco/Wireless - Verizon - $200
Telco/Wireless - ATT - $257
Telco/Wireless - TMUS - $52
Telco/Wireless - Sprint - $38
Telco - Century Link - $14
Telco - Windstream - $1
Tower - Crown Castle - $32
Tower - American Tower - $45
Tower - SBA Comm - $13
Fiber - Zayo - $8
Fiber - Level Three - $22

[jfkspire]

I wanna seriously hold here or build a Giant Position but I don't know how low we gonna go in the short term!!!!
This Stock will eventually be a winner, in the long-run!!
--Are we going to fill the recent GAP or Not??

Positive thing is that;--Even Insiders have been Loading Quietly as of Jan 5th 2017,,,they bought 24000 Shares at $36.93!!
http://www.otcmarkets.com/stock/STRP/insider-transactions




$$$STRP$$$

[Lowcountry15]

A Potential Bidding War For Straight Path Communications $STRP
http://www.seekingalpha.com/article/4037178

[Lowcountry15]

http://www.seekingalpha.com/article/4034273

[Lowcountry15]

http://seekingalpha.com/article/4031006-fcc-final-rule-puts-positive-focus-back-straight-path-communications

[condoe3]

http://www.digitaltrends.com/mobile/att-5g-testing-austin/?utm_source=dlvr.it&utm_medium=twitter

In hot pursuit of Verizon, AT&T begins testing 5G technology in Austin, Texas

AT&T apparently isn’t going to take the news that Verizon has started testing 5G without doing anything itself — in fact, AT&T is now set to start testing the next generation of data transfer technology itself. In a new blog post, the company said it would begin testing 5G out in the real world in partnership with Intel and Ericsson. The tests are taking place in one of AT&T’s Austin, Texas, offices.

As mentioned, AT&T isn’t the only company testing the new technology — all four of the major carriers are working on 5G, but Verizon and AT&T seem to be the furthest ahead in the testing process.

[Lowcountry15]

Thank you. FCC clearly needs to act quickly on both fibertower and STRP. Can't have 2/3rds of 39GHz tied up in litigation.

[condoe3]

This battle will force a deal if mmwave is the next big thing

License Renewal. Our spectrum licenses in the 24 GHz and 39 GHz bands are granted for ten-year terms with renewal dates ranging from 2010 to 2021. In October 2008, renewal applications for our 39 GHz licenses that were scheduled to expire in 2007 received either (1) ten-year renewals for licenses deemed constructed or (2) ten-year renewals contingent upon meeting construction requirements which the FCC extended until June 1, 2012. Recent applications to renew licenses that met the FCC "safe harbor" build standard or to extend construction deadlines for 39 GHz licenses expiring in 2009, 2010 and 2011 have been granted by the FCC.

In order for our 24 GHz and 39 GHz licenses to qualify for renewal, we filed renewal applications for each license prior to expiration and demonstrated that we have provided "substantial service" by the end of the term of each license (which was February 1, 2011 for 102 of the 103 24 GHz licenses) or reserved the right to make such a showing by an FCC approved substantial service showing date (which is June 1, 2012 for a substantial majority of the 39 GHz licenses and all but one of the 24 GHz licenses). The FCC's substantial service renewal standard for both the 24 GHz and 39 GHz licenses is intended to provide licensees with flexibility in demonstrating usage of their licenses. The FCC's "safe harbor" test provides licensees with a degree of certainty as to how to comply with the substantial service requirement. For example, for 39 GHz licensees offering point-to-point service, the FCC has said that the construction of four links per channel per million persons in the license area will meet the substantial service test. For 24 GHz point-to-point/multipoint licensees, the FCC has said that a showing of four links per million persons within a service area or service to an area that has very limited access to either wireless or wireline telecommunications services will meet the substantial service test. FCC precedent also exists in the millimeter wave bands for meeting buildout requirements by constructing a point-to-multipoint system whose signal reaches 20% or more of the population in the license area. While the safe harbors are intended to provide guidance, they are not the only way for licensees to demonstrate substantial service.

Licensees may show that they have met the substantial service test in other ways, such as providing niche services or offering services to underserved consumers, however, there is little precedent in this area at this time. Accordingly, we believe that the level of service that will be considered "substantial" by the FCC at renewal may vary depending upon the type of product offering by the licensee. Further, the FCC may modify its interpretation of substantial service and, in the future, we may encounter more stringent substantial service requirements. License renewal is not guaranteed and the FCC holds significant discretion in making renewal decisions. The loss of some number of our licenses could limit the expansion of our business, cause us to take impairment charges to our FCC licenses intangible asset and harm our operating results

[condoe3]

No, they are still in dispute

here is the link to the bankruptcy documents

http://bmcgroup.com/restructuring/Docket.aspx?ClientID=9312

[condoe3]

Our Spectrum

Our spectrum portfolio includes 635 licenses for channels in the 38.6-40.0 GHz (39 GHz) spectrum and 103 licenses in the 24 GHz spectrum and extends over substantially all of the continental U.S., with a population of over 300 million. We have one of the largest and most comprehensive FCC-granted millimeter wave spectrum license portfolios in the U.S. including, on average, over 740 MHz in the top 20 metropolitan areas. In the aggregate, our licenses represent approximately 1.55 billion channel pops.

24 GHz SMSA licenses represent those licenses granted by the FCC that encompass Statistical Metropolitan Service Areas. FiberTower holds 102 such SMSAs. FiberTower holds one Basic Economic Area, or BEA, license in the 24 GHz band. For both SMSAs and BEAs in the 24 GHz band, each channel represents 80 MHz.


39 GHz BEA licenses represent only those licenses granted by the FCC that encompass Basic Economic Areas. FiberTower holds 352 such BEAs. 39 GHz Rectangular Service Area (RSA) or "legacy" licenses were granted prior to the FCC awarding BEAs at auction. The RSAs were grandfathered into Basic Economic Areas and have different regulatory characteristics. FiberTower holds 283 RSAs. Two RSA's hold 2 channels. Five RSAs hold a half channel. For both 39 GHz BEAs and 39 GHz RSAs, each channel represents 100 MHz.

(3)
Total channel pops shown in millions of pops per Basic Economic Area (based on 2000 census data).

[Lowcountry15]

Interesting. I thought FCC put the majority of the claims on those licenses to bed this past spring. I'll look for the court decision I'm referencing.

[condoe3]

Their are 700 licenses in limbo and still under the control of the banruptcy court until the conclusion of a now slated 2019 trial


https://www.cravath.com/files/uploads/documents/publications/3436183_1.pdf

To obtain an injunction, the debtor in possession must show a likelihood of success on the merits, irreparable injury, balance of equities and that the injunction would serve the public interest. The merits inquiry is of the action in which the plaintiff seeks the preliminary injunction, because the preliminary injunction is in aid of the relief sought in the adversary proceeding. The bankruptcy court should not usurp or second-guess the FCC’s regulatory authority by ruling on the likelihood of success of the FCC proceeding. Therefore, the question here is whether the court is likely to grant the requested injunctive relief. The court is likely to do so, because the relief involves only a stay of termination pending the FCC’s and appellate court’s rulings, which the FCC itself would have authority to grant, and because it protects property of the estate.

The debtor in possession has a risk of irreparable injury because the cash collateral order terminates upon license termination and because the FCC might reallocate the licenses upon termination, making recovery of the licenses slow, difficult or impossible. That potential harm is greater than the harm to the FCC’s regulatory interests, and preserving property of the estate to permit reorganization is consistent with the public interest. Therefore, the court issues the preliminary injunction. Fibertower Network Servs. Corp. v. FCC (In re Fibertower Network Servs. Corp.), 482 B.R. 169 (Bankr. N.D. Tex. 2012).

[Lowcountry15]

Are you saying they have a claim on the now private firm that was once fibertower (bankrupted)? I know they still have a small portfolio of cm and mm wave spectrum that was not revoked by FCC.

[condoe3]

I also think anyone who held onto their Fibertower shares will have a shot @ a claim given the potential value of mmwave and backroom dealings

[condoe3]

their is a lot of positive talk surrounding 5G and mmwave, so your 200 dollar price potential for STRP is very possible, 2017 is going to be a very interesting year

[Lowcountry15]

Short term swings are irrelevant. Market is waiting on FCC to finalize the investigation (see 8k filings). Recent FCC NPRM comments by leading wireless companies point to the value of 39GHz in the commercialization of the still to be defined 5G. FCC rule making has allowed STRP to now have contiguous holdings (something Kerrisdale thought VERY unlikely). Even if mmwave spectrum trades at 270 times less than current wireless spectrum, STRP should be worth more than 2.5b or > $200 pps. STRP is the only publicly traded company that allows institutional investors (and retail) the opportunity to invest in the potential value of mmwave spectrum and 5G backhaul.

[condoe3]

thieves in suits are involved with this stock ..... one slight negative note, true or most likely false, and 18 level gets hit, stock hit 15.65 on July 28 after run to 39 on July 15

[jfkspire]

Wow!! Your call for $18 is quite Bearish in the short Term!!
Is the Financial report on DEC-!5th expected to be bad??
Barchart says all Support Levels are above $20
https://www.barchart.com/stocks/quotes/STRP/opinion


$$STRP$$

[condoe3]

The Path is in the sweet spot of the future of technology , may see 18 before next run to 40, heavy ownership of the stock..... very few shares available to buy in open market, 5G is on the door step, and Straight Path should benefit in a big way

[jfkspire]

Hey 'condoe3' !! What is your Expectation as regards STRP pending Financial report. The Price is moving near/around the Loading Zone!!

$$STRP$$

[condoe3]

Archer Capital Management Lp Increased Straight Path Communicatns I (NYSEMKT:STRP) by $10.53 Million as Shares Rose

November 15, 2016 Winifred Garcia
Eric Edidin increased its stake in Straight Path Communicatns I (NYSEMKT:STRP) by 187.09% based on its latest 2016Q3 regulatory filing with the SEC. Archer Capital Management Lp bought 421,186 shares as the company’s stock rose 72.87% with the market. The hedge fund run by Eric Edidin held 646,312 shares of the telecommunications equipment company at the end of 2016Q3, valued at $16.55 million, up from 225,126 at the end of the previous reported quarter. Archer Capital Management Lp who had been investing in Straight Path Communicatns I for a number of months, seems to be bullish on the $373.56 million market cap company. The stock decreased 2.48% or $0.67 during the last trading session, hitting $26.33. About 222,552 shares traded hands or 74.86% up from the average. Straight Path Communications Inc (NYSEMKT:STRP) has declined 16.76% since April 13, 2016 and is downtrending. It has underperformed by 20.68% the S&P500.

Archer Capital Management Lp, which manages about $1.86B and $398.71M US Long portfolio, decreased its stake in Macquarie Infrastructure Cor (NYSE:MIC) by 123,000 shares to 532,966 shares, valued at $44.36M in 2016Q3, according to the filing.

[jfkspire]

And some are blocking the 27s with 1000share-sell-blocks!!
What fools!!

[jfkspire]

It's true and sad!! ,,someone keeps on shorting this stock.They keep on selling 400s and 300s of shares. That's what level2 shows. Very irritating,,we would be in the 30s by now!!
$STRP$

[jfkspire]

Ah Ok,,I got it!!,,,But yes I'm aware of the FCC investigation!!

[Lowcountry15]

There is no news...what I'm saying is that they have an asset (spectrum) that wireless providers need for 5G deployment. That makes them a target...again, no news. Firm is being investigated by FCC for license renewal practices...hence part of the reason behind the depressed price.

[jfkspire]

Where do you have the news of STRP being a Potential Buy out!!??
That is actually new info to me,,,Although I've been here for a while,,most of the News/updates I aint aware of!!
$$STRP$$

[Lowcountry15]

Rule number 1: never, ever, ever short a potential buyout target.

Hopefully FCC rules soon on licenses. Letter of inquiry now 2 months old.

Bullish

[jfkspire]

Shorts kept this down!
They kept on dropping 1500s of shares on the ASK.
This Stock has Burned them before and it sure will burn them again.
$STRP$

[jfkspire]

To the 40s is were we actually are headed!!
Expect a Five Dollar Move upwards in the next few days!!
$$$STRP$$$$

[jfkspire]

Thanx for the Insight!!

[Lowcountry15]

Impressive on light vol. just wait when daily vol surpasses 500k. 47% short interest and sub 6m public float. Implied vol only at 100%...really? When a stock moves 15% on 150k vol, sky is the limit...but 0 could be there quickly as well. Bullish.

[jfkspire]

I wonder how High in price we gonna go???
I'm pretty sure we shall blow thru 30 very easily!!
Chart is not yet over bought!!
Great Momentum stock to Hold!!
$$STRP$$

[jfkspire]

Sounds good to me!!!
Thanx for the update!!

[Lowcountry15]

FCC continues to approve their leases as recently as today at both 28 and 39 GHz. When we get clarity on FCC investigation, we will move one way or the other! Bullish! If outcome is sympathetic to STRP, I have to think market cap at least rivals XO Communication deal of 1.8b. So minimum $150 pps.

Kerrisdale report speaks to mmwave spectrum as if 39ghz is the same as 100 GHz. Time for them to read wireless providers comments to FCC in latest nprm. Everything kerrisdale report claimed to be a low delta chance is now happening. There is no other publicly traded company that provides 5G spectrum exposure.

[jfkspire]

We going back to 30s and this time we will never look back!!
Don't get left on the sidelines!!!
$$STRP$$

[LouisDesyjr]

Posting a reply to ones own question

I understand that it looks unusual, and at first I wondered when a reply should be used instead of posting a new message.

The problem is how do you continue a thread within the board when the messages are related or better understood if view together?

After thinking a little about it, if the reply to one's own message is additional information on the original message, then a reply should be used because it keeps the thread within the message board organized and allows other to see the related information.

The other situation is that the reply message is related to the original, so it seems better to reply than the post a new message.

In the two messages in question, the original was my first intital impressions, and the follow up was after I had a chance to look at more information discussed in the first posting, so I posted my followup as a reply.

Louis J. Desy Jr.

[jfkspire]

You ask a question and then answer yourself!!!???
Atleast answer yrself with Genuine DD, which will be more proof beyond yr own words!!
$$STRP$$

[OTC_slayer]

Agree. The company has much coveted bandwidth that will eventually be critical. It is a resource that is in short supply. I do have some questions about management though...the current CEO does not have much experience. Does that bother anyone else?

[HeavyDd]

It sure is. This is a $200-$500 stock in a couple of years.

[longhorn4lif]

Easily still undervalued.