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I like that! They are being upfront, I can't imagine this taking this a ton longer. Very rare for a shell to be so transparent and announce that in their 10q. He's not desperate, looking for the right deal. My hope is friend Gabelli as large shareholder and his dad's history will mean he is nice to shareholders and looking for big board potential.
lol...:) all about them links :)
Well, spoke too soon. Someone much be watching this board, when I said bid creeping, suddenly a small seller enters picture.
Someone seeing something? A little bid creep and ask dried up.
Space is heating up and getting very interesting. Working in it, I see some big trends favoring Kitara and others like it. Rising tide lifts all boats. I expect some big growth starting in the next few quarters based on what I am seeing as log as Kitara is managed properly. Content is starting to look very different and scale down to a place where video makes sense for a whole new array of companies. This is just the beginning of a much larger macro play.
nice game of good cop, bad cop :)
Going to have a 2 for 1 split soon in conjunction with this big merger, but hasn't happened yet. Interest is coming from the merger potential, although not a ton of volume because it's so thin. The ask seemed to evaporate this afternoon.
Me too, I think people will be surprised as this developed. And can't see much downside risk from where we are at the moment and ton of upward potential.
More recent news on Princeton Advisory and Munish Sood from June 10, 2014:
http://aebworldwide.com/alliance-partners-3/
AEB Partners with Munish Sood Founder of Princeton Advisory Group. Munish Sood is the founder of Princeton Advisory Group, Inc. and serves as Chief Executive Officer of the firm. The firm was founded in 2002 to provide investment management services to High New Worth and global institutional clients across multiple investment strategies. He is actively involved in all aspects of the firm and manages all the investment activity at the firm. The firm currently manages in excess of $2.5 billion USD.
Very attractive. This might turn into a long-term holding with that dividend income. One of the reasons BDC's are great. That'll bump the interest level.
Ok, so in looking through things, it does appear that Capital Point Partners is organizing the deal, but really it’s a hodgepodge of experienced hedgies, private capital and institutional guys on the new board including Jackson from Capital Point as well as others. So it is not exclusively Capital Point involved here.
It appears all, but one of the executive officers is from the Princeton Advisory Group with Munish Sood being the CEO of the new company. In terms of assets too hard to tell where they are coming from, but I'm assuming some of the assets may be coming from Princeton Advisory as well. Says they manage around $1 billion in assets currently.
https://www.princetonadvisory.com/index.html
Going to take that post down so as not to confuse anyone new to the stock.
Yeah, that's what I figured when I first saw it, got ahead of myself lol...always dreaming :) Lost my DD hat there, just trying to figure out how they plan to get past the $3 mark. It still makes sense that it should be Capital Point with the BDC label, but with the fact they do M&A stuff, also wanted to throw out the option that maybe this is part of them representing someone else perhaps?
One question I have is why are they calling it NewCo if it's Capital Point? Could it be that it's actually not Capital Point and that they are simply organizing the deal? They have done M&A stuff in the past. Or are they changing their name?
Could be or Malcom Currie who is approaching I think 90 years old couldn't wait much longer possibly? They had this company for so long. For the most part it's been somewhat like a shell stock since 2005.
Haha...between us we'll unravel it.
My assumption is to get to that $3 the desirable assets would be rolled in and they would be selling less desirable assets, the other Capital Point assets to raise cash for future investments? It appears it starts at 95,000,000 and depending on success on that private placement Capital Point is doing up to that 119.
Still funny if that's the case that they think it would be less confusing to put in OS numbers not taking into account the RS. Why do that? Haven't seen that done before in a case like that, so much good stuff in here for a merger sleuth :)
Yeah, that's true. Although we know RONE alone would have never been a big boards stock without a merger of some sorts so that's the positive. We had talked about how that alone would make it an attractive merger target. I kind of wish they had waited it out to see if that would happen, would have made them even more valuable. But, that's the game I guess, there are no guarantees CUR was going to make it there, so they have some leverage right now, they probably figured why not use it.
Either way, if we hit a minimum of $3 as they want it's way better than I was expecting even a couple weeks ago. They must have a plan in place to get there, it certainly appears like that from reading through things.
Yup, I think it will take time to digest. They will own 95% which is fine by me with all the assets coming in and plan to get above $3, but it looks like OS they mention in there is one not taking into account the RS as that piece says. I believe that puts the OS in the ~55 million range. Let me know if you're seeing things differently, was a bit confusing on that section. Lots and lots to DD in this, much more to come in the days and weeks ahead.
This parts important at the end imo:
However, for ease of comprehension, unless otherwise indicated, references to the number of shares of outstanding Common Stock contained in this Information Statement do not give effect to the Reverse Stock Split. The consents that we received constitute the only shareholder approvals required under the FBCA and the 1940 Act in order to file the Certificate of Amendment to effect the Reverse Stock Split, to file the Articles of Merger to effect the Reincorporation, to consummate the Transactions and to approve future issuances of Common Stock at a price below NAV and the Advisory Agreement, respectively. As a result, no further action by any other shareholder is required to approve these matters and we have not and will not be soliciting your approval thereof.
Looks definetly like FULL, a BDC which is heavy on dividends for investors. Very much playing out like these other BDC's.
The Board authorized the Reverse Stock Split in an attempt to raise the per share trading price of the Common Stock in order to gain listing on a national securities exchange. Before the Common Stock may be listed on a national securities exchange, we must satisfy certain listing requirements. One of these listing requirements is that the Common Stock must generally have a minimum bid price, which the NYSE requires a minimum bid price of $3.00 per share. On July 14, 2014, the closing price of the Common Stock on the OTCBB was $0.15 per share.
Still can't get around the fact that Bronson has bought up ~$360,000 of the common stock here since August last year right after the successful takeover of QBAK. Not a small amount of money and he shows no signs of letting up, with almost $80,000 in purchases since June. And it doesn't appear the PPS is effecting that trend, he continues to buy. What is he planning?
Looks like website came down with that merger filing FYI:
http://regal1.com
Things continue to line up.
I agree. It may be tomorrow or a month from now, but the volume will come in. It will take time for the news to get out there with as so few people following. And we haven't been a board that hypes things, just methodical DD which has suddenly turned very promising.
Having played and DD'd and researched merger plays and shells for a long time, I also think most people who play mergers tend to look at pure shell stocks for their plays, so they can overlook operating investment companies like RONE. So far, from what I've seen, most of the sites that cover mergers have not stumbled on this one yet. That all said, as long as this stays under the radar will be happy. It will give an opportunity to still get more cheap shares.
Was a good point though, always have to look at preferred. Seeing that in the purchase agreement, was actually another thing that made me bullish that people holding common shares (Charles Newman etc.) are in a very good position. And a sign that the company that is rolling in here knows what they are doing in how they structured this deal.
After watching this stock and team for four years was really nice to see. You knew Newman had to buying up the shares for some reason. The funny thing is even without this whole deal, it's been undervalued IMO with the share of CUR shares they own and the CUR warrant they still hold. I believe this is most likely the reason that they got a very solid deal here.
It does look updated, interesting the use of Mario Gabelli for a plug, clearly using that to try and find the right partner. We'll see what he can do, coming up on two years now.
The story that keeps on giving...lol. If it would only give us $$$
FunnyG, 100% with you on this. This could surprise everyone. First time in a few years with a stock that I feel comfortable laying out that potential on it. Downside risk from where we are is very limited IMO based on structure of the deal. And upside potential is very impressive.
I'm not sure on something more lurking. Maybe they are assuming once the numbers on the balance sheet comes out and merger is complete that will fuel the share price or perhaps they are setting the stage for some additional share issuance at a much higher PPS. I definitely can see potential institutional interest in it based on researching other BDC's. Either way, no matter what happens, with an uplist to me it looks like 1000%+ mover potential.
Something more to ponder, this might add a little confidence to that potential. Check this stream of thought now that I have had a chance to really dig in.
At last report Capital Point Partners had ~$128 million+ in assets under management. There are two sources for that information.
This looks like the most recent on assets under management (2013)
http://www.wallstreetoasis.com/forums/nebulous-capital-partners-llc-or-is-this-a-real-company
1) Capital Point Partners did raise two funds ( Fund I was $100mm, Fund II looks to be only $28mm but that was after first close... may have been reopened if performance was decent).
Jackson manages Capital Point Partners (No. 13 on the BE Private Equity firms list with $110 million in capital under management) and is responsible for deal flow generation, investor relations, capital raising, and overall strategy for the firm. Capital specializes in mezzanine financing, including buyouts and recapitalizations, between $5 million and $20 million to middle-market companies. As of June, Capital Point Partners II L.P. raised $28 million of a targeted $250 million private equity fund.
Seeing some other things that are spiking my interest on this even more one as I dig in with that new agreement. May start to play into a macro trend that may be evolving on BDC's. Been following small BDC's for a while. Feel like there is something starting to build here. Will bring more details later on.
And how about this? Uplisting potential, no more OTC?
The Parent shall take such actions as are necessary to file a listing application with a national securities exchange for the Buyer Common Stock.
Interesting timing and news to come out right as Harbinger and Falcone sue US government. Man, never a dull day.
(e) the Purchased Loans shall have a value of at least fifty million dollars ($50,000,000.00).
Capital Point Partners investments look pretty solid. Low OS, CUR investment and solid portfolio companies of capital point makes this look more attractive to me than it was before. I think this looks like a very solid so far, we'll see as we get more details.
Man, I missed this today, so the 8k was a precursor. A 1 to 2 split is about as good as you get in RM land. Very surprised that anyone is selling at .11. Looking into Princeton, will be interesting to see how CUR plays into it.
2000? Definetly odd, maybe typo? He wasn't on board until 2009. Will look and see if there could be anything more to it.
Bid side much stronger now too, that 1.45 level should have good support now that we broke through. Historically strong resistance there.
There we go, the inevitable move upward on small volume, breaking out to new highs. If this ever did get strong volume upward will move fast now. If Bronson's buying I will continue to.