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Pac;
I thought about things some more last night and here is a possible scenario.
I am very familiar with creating real estate deals as I have done this for 17 years now on the side from my main job as an IT professional.
The scenario that comes to mind is one in which an investor finds a good deal or has a piece of real estate with equity in it but due to whatever circumstances he cannot get financing. He proceeds to find someone (called a straw buyer) who can refinance the property, thus pulling equity out of the property to pursue more deals or just use the money for whatever. The deal is structured in that the title needs to be put in the straw buyer’s name, refinanced under his “good” credit and then at a later time, re-titled and/or refinanced under the original purchaser’s name. Technically speaking, banks will not lend under this situation and there are many ways investors will try to hide the fact they are doing this. The straw buyer get’s a percentage of the refinance (1% -10%) and the investor gets the rest. Obviously, you have to have trust in the straw buyer’s integrity to complete the deal and there are documents and agreements that are drawn up between the investor and straw buyer that are never recorded at the court house.
I think that something like this is going on right now with Mobile Pro and Gobility. I am not well versed in Corporate finance arrangements but Jay is, so I think he is pursuing something from a corporate perspective, completely legal of course - but outwardly confusing to us who are on the outside looking in - that would allow him to be able to pull money out of MOBL and possibly end up with a pure play Muni WIFI/WIMAX company. Jay has a lot at stake and MANY shares of MOBL that I don’t think he is going to just let slip through his fingers. Possibly a reverse merger/buyout of some sort is all part of this equation. I'm just not sure.
These are just pure speculations on my part but something for all to chew on.
AIMHO
J
Rugged Pirate et. al.,
I would agree with you that the price may dip tomorrow morning, but I see this as a buy opportunity. As many other's (i.e. stockdoc, nibbler, tomvlasic, Rob etc.) have mentioned, this whole thing doesn't make sense. It looks like it could possibly be the buildup of a reverse split/merger/buyout IMHO. I read GOBILITY's web site and what they offer:
Gobility is a provider of wireless broadband data and voice services, and an off-deck mobile data service provider of mobile content, mobile Internet solutions, mobile business applications and mobile infotainment to its subscribers. Our company strategy is to manage a mobile services business deploying next-generation wireless broadband networks, data applications and voice telephony. Gobility provides its customers a broad portfolio of communication services, and is a leader in Wi-Fi/WiMAX voice, data and video services.
Not only do they provide wireless broadband services, they have several innovative platforms for delivery of data content.
I think all of this is a good thing and as Jay is an aquisition guru, I believe he is positioning ourselves for better times ahead.
I am here to the bitter end come Hell or high water. I think the many Longs will be rewarded for our patience if we just hold together through this uncertainty.
J
Rob;
I too was naive about this fact in the beginning. I only listen to a few posters and leave the rest to my own independent research.
Many folks here have agenda's and are professional flippers. I am not.
Many of us were bambuzzled into the big talk of Jay Wright but I blame no one for my loses except myself.
I enjoyed your honesty. Just be leery about listening to much on this BB. Most of it is BS.
J
With Rugged Pirate predicting a sunk ship and a possible PR on the horizan, my trigger finger is itchy to pull the plug on the whole thing but I am going to wait this out.
All my index funds are breaking the charts (upward) and MOBL is just a kickin' my butt.
Heaven Help us all....!!!
J
Stockdoc;
100% agreement... Seems like a conflict of interest IMO. Also, I am still at a loss to understand what synergistic effects Pro Games has to do with the wireless business model.
Does anyone know what the initial logic was behind the purchase? There must have been some rational being used at the time.
I say sell Pro Games along with DAVEL and use the additional proceeds to build out the wireless business.
J
tomvlasic;
It's ok... It got my hopes up as I really thought there was some good news. I guess we're all on the edge of our seats waiting....
J
Looks like a bogus e-mail to me. Who is Jay White?
Call me a contrarian--------
I think he will come through but possibly not on our timeline. Where has it been said that something MUST happen by July 1, 2007? The only thing that MOBL needs to do on July 1, 2007 is to continue making payments to Cornell. That would seem to satisfy the last PR in my book. (I'm not fully sold on the idea that the PR indicates MOBL needs to pay off the $15 M Cornell debt... just continue payments). One scenerio could be that Jay has pushed the payments back even further (to July 15 or August 1) as Cornell must or would know of something big in the works and be willing to wait for a little extra money.
Don't get me wrong... if something good came out in the next couple of days I'd be ecstatic. I'm just bracing myself for the big let-down early. I really think at this late venture, we will not see anything by Friday though....
AIMHO
J
Stockdoc;
I really hope you are right. I'm still skeptical about his willingness to do the right thing.
A parallel example would be to receive a large sum of money and instead of paying off credit card debt that is sinking you, you spend the money on purchasing more MOBL stock.
I think Jay is willing to risk it and use the money in other ways besides what makes the most sense to us the shareholders.
J
Good luck Longs....
Cougar40;
After posting my previous message, I starting thinking this might be a good possibility. It's good to hear someone else is thinking along the same lines. It's the only thing that makes sense to me. If they are consolidating and pursuing a wireless pureplay strategy then it would make sense that several events would happen in the approximate same time frame.
Thanks for the response.
J
Bede
Well stated.
If they do pay Cornell off (which I hope is the right answer) then where will they get the money to fund other operational plans and expand the business? The math doesn't add up unless they don't want to expand the business with cash and grow the business from within.
J
Speaking of Cornell;
Read something from RB board about this subject and it got me thinking.
WHEREAS, the Company expects to engage in a transaction within the next few weeks that will generate sufficient cash by July 1, 2007 to pay the principal and interest owed to Cornell Capital under the Convertible Debentures and the convertible debenture dated June 30, 2006 issued by the Company to Cornell Capital in the principal amount of $15,149,650, as amended; and
In reading this it makes no mention of actually paying Cornell off. It just seems like this could be interpreted to mean making payments which wouldn't really be a positive thing imo. Even if they made $20 Million from the sale of something, MOBL still needs money to build out it's wireless plans (if this is what they plan to do).
Any thoughts from others?
J
Stockdoc;
I read an article in the Washington Post this morning in which a quiet period was mentioned before a company goes public. This was in the Business Section on a huge Private Equity Company which is set to IPO soon. I believe it was referring to PR's and public comments to the newspaper and not whether or not some CEO has bought or sold shares in the company like you mentioned.
Could this be the reason we haven't heard anything from Jay?
J
Maddog;
I'll go with you if it's open to the public.... I want to hear what Mr. Wright has to say in person.
jmalroy
This years Mobile Pro CC
Thank you Zgoldies... After reading all the posts regarding "last years" 10QSB CC, I understood your intent was to provide an approximate date for this years CC.
Yes, I actually enjoyed listening to large funds... It was nice to hear vocally what many of us have been saying on this board for a long time.
Again, thank you for the info.
jmalroy
Does anyone know when the CC will occur this month? Haven't heard any word and thought someone here might know.
BMiles;
Keep predicting that we'll go lower and maybe we'll make some money
J
Money to Risk
mrpego
Unless they have the money to speculate on . All this whining on the board is killing me. Just last week everyone was happy and now with a pause in upward movement of the pps, many on this board have started to whine again. I too am frustrated as Jay really seems to be jerking all of us around but IT CAN"T LAST FOREVER. We HAVE to pay off Cornell in two months or work something else out. Give this stock another two months and mark my words, if everyone stays calm and continues to buy on the dips, we can all plan a party and celebrate when this thing moves up.
For the record, I averaged down from .24 pps to .0753 pps. I hope other longs were able to do so also. Some folks may not agree with this strategy but hopefully it will pay off. The new strategy going forward for me is to get out around .10 pps and move on. The only thing that might keep me hanging around is if they got rid of JW and got another CEO.
After a debacle like MOBL, mutual funds or index funds sound pretty good right now.
JAY where is the PR on the IPO......!!!!!!!
J
PullBack
The reason it is pulling back so hard is that I bought some more shares today @ .0360. Every day I buy shares it drops.
J
Flailing around in MOBL land
investology;
Looks like JW and the BOD just are trying this and that with no real plan of execution. Just throwing ideas at the wall hoping something will stick.... Not to good in my opinion..
J
Cougar40;
I agree with you Cougar. Many post of people crying the blues and cursing JW in the past 4 or 5 months. Now the posts have completely changed (except for the cursing JW part). IMO, it is proof to do your own DD and stick with what you think. It take guts to buy at .02 pps and hope you're not making a big mistake.
Good luck to us all as this thing heads north.... (finally).
J
A little late for averaging down...
duelittle2;
A little late for averaging down... You should have been buying for the last couple of months. A nice couple of days for all of us longs.... I'm up about $25,000 but still deep in the red from my initial investments. Hoping for some continued good days ahead.
J
Zgoldies;
This is the one consulation that I have. Something MUST happen in a couple of weeks but it MAY (emphasis here) take some time to get back to the teens or low 20's.
I wonder what some of you others are thinking as to how high the pps might go once Cornell debt is paid off.
J
Cougar;
I agree with your assessment. It is killing me while we wait and wait and wait..... Cornell debt has gotten us to where we are so you right, we need to face the hard cold facts....
J
Objective comments
Guys
I do not believe Jay likes the drop in value of his shares either. With almost a million shares he has seen his MOBL portfolio drop also. Conspiracy theories abound when things are not going well. I don't believe them. Granted, Jay hasn't performed well (imo) but I really think he is trying to right the wrongs which have happened over the past year. I do believe if we all hold on for a little longer positive things will happen. I don't think we'll make tons of money on this but within 3-6 months we'll be in much better shape and be whole or nearly whole in the money that we have invested. Bashing Jay (which is a very popular activity on the MOBL boards) doesn't help our situation IMO.
I believe the BOD and JW are working exceptionally hard to change things. That said, I'm not defending his past decisons, just looking ahead for a more positive outcome. Paying off Cornell, a KITE IPO and/or divesture of Davell are all positive actions that could help our bottom line.
Hope this shed a little objectivity on our situation.
J
stockdoc;
Another quick question. If an IPO did come out and MOBL was thinking of giving us investors a dividend, what date before the IPO would they base an investors MOBL shares position to calculate # of shares of a KITE position. Since you've been through this before, I thought you might have some technical insight into this process.
J
This is GREAT News
croinvest;
Thanks for the clarification. I must have missed the discussions.
J
KITE IPO
So when is the suspected KITE IPO going to happen? Jay told us at the CC that something would be forthcoming within 6-8 weeks - my understanding. It is now week 9? and we haven't heard anything.
Anyone have any info?
J
Maddog;
Yes, it IS depressing but I think we WILL (eventually) IPO Kite. This should change the picture some.
Stockdoc;
I'm laughing so hard it hurts.... My thoughts exactly...
J
I'll hazard a guess. Wihout positive news, I would say 2 Fridays from today. Let's see if I'm right.
J
All;
Panic is in the air over this. I'm in the red to my eyeballs and things look desperate. Call me crazy but I think a change will come real soon. I don't base this on anything technical just a feeling.
Those people wanting to bail should just hold tight...
Holding at 1.4 million shares.....
J
Does anyone know at what level the pps could go before it becomes a downward death spiral to bankruptcy? In other words, is there a price that becomes a "survival" issue for the company? Some might argue that we've already reached that but with Jay discussing the plans for the future, it doesn't seem like the pps concerns him where the viability of the company is concerned. This is not a dig at him but just an observation. I would think that the pps is intricately involved in the survivabilty of any company.
Any thoughts from the financially astute among us?
Thanks
J
I'm puking right now. It is pathetic....
J
My plans exactly.... I'm happy if I can just break even, although I'm hoping to do much better...
J
Unfortunately this is the case...
J
Astute Observation
croinvest;
I agree with this assessment. There is an old saying "Take your stock picks (or any investment of your choice) when there is blood in the streets."
People tend to over react to any financial decision because it is an emotional decision. Right now this is what is going on (imo). Although I think mistakes have been made in some of the executions (as I've said in other posts), I truly believe that JW and the BOD are trying to right the MOBL situation. No rational person WANTS to loose money or capital valuation. I think we'll all be much happier over the next 3 to 6 months.
I will be buying into MOBL over the next 3 to 4 weeks myself trying to get my pps down to .05 from .087 now.
pacattack81;
If we are patient and wait for the IPO news and sale of DAVEL (both things in the works), I really believe MOBL will come back to a respectable pps (i.e. .25 to .35 per share) we'll all make some money and laugh about how silly our fears were. We just have to maintain strong backbones and weather the storm. It will get better. I just bought another 100,000 shares today and will try to get more over the next week.
By the way, zgoldies and my prediction came true on the pps at .03 in two weeks. I've been holding onto my money waiting and now it's time to buy.
How many think it will go to .02 within the next two weeks? Just curious... All of this imho.....
J
Locally in the DC Area
fivepercentstocks;
Are you in the DC Metropolitan area? I'm off of the Blue Line... Maybe we can go up together and have a little chat with Jay
J