Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
you're welcome. Im waiting for the first MOR to get more details before the auction.
Initial monthly operating report filed...
http://www.omnimgt.com/cmsvol2/pub_46912/513974_82.pdf
The 11 week cash flow projection is telling the final chapter. They are finally profitable IMO. This is good news for the bidders and should increase the final offer. Like I said, I believe the final price will be between $16-22M( shareholders could get between 2-5 cents). Anyone loading at these level could turn out very well if the final price go higher than $14M...
I will repeat what I said in another MB...
Bidders will come and SITO is not going to win IMO...
I have been following HIPP back in the days of AUGT( old shareholders) and sold for a big loss!!! when I realized how bad!!! Arena( CEO in those days) was handling AUGT. After that I kept an eye on AUGT( HIPP today) and saw the entire drama. With that been said and based on my DD, there is value on HIPP business model and patents but it was so obvious that nobody wanted to do business( equity or debt) with the previous and current management. Now that they have been forced(IMO) to filed for BK I believe the people wanting this business model and technology will come forward and buy HIPP business (with less employees, not this F$#@$ management and BOD, and finally profitable).
IMO SITO is just a puppet in this game and will be outbid quickly and by a large amount. Based on my previous DD( when I was AUGT shareholder) I put the price of this auction between $16-22M. If Im right then shareholders could get between 2-5 cents per share. We have to remember that liabilities are around $12M and assets around $16M. Anything above $13M will go to shareholders. So anybody loading at these level just to speculate could get a nice reward...
BTW... SITO transaction is really a little over 10M ( $4.5M in Cash + $3.4M credit line + some liabilities and employees). So any real offer will have to be over 10M to make sense in my opinion...
And we touch 0.01! Let see if we close at 0.01 or higher....
They are testing sellers before moving the bid over 0.0065 for the next round. The pattern is very clear, someone is buying every share available under 1 cent. I wonder how much they need in order to have the entire O/S???
The pattern is clear, they wait for sellers to come close to their bid and from time to time go up a grab a few blocks then back down to their bid until the next round of sellers. I wonder how many sellers we still have under 3 cents?.....
Another day with over 400K shares, They keep buying and cleaning level 2. A couple more days like this one and before May 1 they should have all the O/S plus the "shorted shares" too...
Check the daily short data from FINRA, MMs are trying to hold the pps but are running out of shares and are using "short" shares to trade. This looks more interesting week and week...
http://regsho.finra.org/regsho-Index.html
Yep, and like yesterday they grab over 400,000 shares and counting.
I wonder, how long before the grab the entire O/S??( I still believe in the RM theory)....
Maybe, but what is really interesting about SVNTQ is that so far we haven't seen a single run in this BK time. Also we don't have shorts players having fun with the PPS. So far in all my BK plays I have always see a couple runs during the BK period but here so far none.
Something here doesn't add up. That's why I still go with my "RM theory"... Let see if we hit 1 cent before the week end.
Interesting,... they are moving and buying slowly, without making too much noise. Can we see 1 cent by the end of the week??
Let see what happen next week...
Or maybe.... The bidder/broker/MM said, "Is Friday, I got less than 2M shares this week and I have a $#@#$#@ idiot that want to sell me 1.4M shares that he bought last week over me thinking that I was in a hurry for the shares...F$#@# him, I'm taking the day off" LOL!!!!
Or maybe....
Exactly, they raise the bid( 22M shares at 0.0062). The clock is ticking...
kg2931,
My theory is just that a "theory" and is based on my previous experience with many BK stocks. That 20+ million shares bid is $%$#@# sign of either a crazy #@#$#(looking for fun) or somebody is buying in advance. Now let answer your questions...
1) Who is the "They want"?
If and only if Im right, the people in the know(Crealta and their partners)
2) What is "O/S"?
O/S= outstanding shares
3) What "offer to the court"?
So far the propose plan says that the company will be close and liquidated. But if crealta get the control of the company( remember, we are a public company and this is chapter 11 not 7) they can offer/request to cancel the liquidation and reorganize the company(shell) using the RM method. The propose plan will only have to be amended in the part that says SVNT liquidation for something else. Everything else go as planned.
4) Who amongst the players that are eligible to vote (secured and unsecured/not stockholders) "wants to stop the "propose plan" and why?
See answer 3 to get the idea. Remember Im betting that Crealta would like to use SVNT NOLs and other tax credits. But maybe they don't want it....
yep, or they know something.....
Agree, Just look at the level 2. Two brokers/MM are eating everything( the one with the 27M bid and the other that from time to time outbid the 27M and grab the shares).
I still go with my theory of the RM. They want most of the O/S before they move forward with the offer to the court and stop the "propose plan" before the vote and confirmation from the judge, In my opinion. I can be right or wrong....I love to gamble from time to time LOL....
Let see what happen next week....
you need level 2 on your trading account. Is right there.
WTF!?! 41 shares at 0.0065! manipulation at best!!
I need to sit down and read the entire document. So far it look like the judge approved the modification but the document is open to changes before it goes to vote and get the confirmation from the judge. But something doesn't add up, just look at the level 2... you have a bid for 27 million shares and more bids higher than that one. There is people willing to grab every share available but they are not in a hurry....
I see. Thank you very much. From the 8-K is pretty clear that the plan is not yet approve but modified....
http://www.sec.gov/Archives/edgar/data/722104/000119312514103972/d694269d8k.htm
On March 18, 2014, the Bankruptcy Court entered an order approving a modified version of the previously filed disclosure statement (the “Disclosure Statement”), a copy of which is attached hereto as Exhibit 99.1. A modified version of the previously filed proposed plan of liquidation (as may be amended, modified or supplemented from time to time, the “Proposed Plan”), a copy of which is attached hereto as Exhibit 99.2, was filed with the Bankruptcy Court as an exhibit to the Disclosure Statement.
Information contained in the Proposed Plan is subject to change, whether as a result of amendments to the Proposed Plan, third-party actions, or otherwise. The Proposed Plan is subject to acceptance by certain of the Debtors’ creditors (as and to the extent required under the Bankruptcy Code) and confirmation by the Bankruptcy Court. There can be no assurances that the requisite acceptances to the Proposed Plan can be obtained from the Debtors’ creditors or that the Bankruptcy Court will confirm the Proposed Plan. This Current Report on Form 8-K is not intended to be, nor should it be construed as, a solicitation for a vote on the Proposed Plan.
But do we have the effective day??
It look like the judge approved the modification to the plan but the plan is not yet approve. right?? Please correct me if Im wrong, thanks
They are starting to "soft" the language toward common shareholders.
They still use the word "cancel" but NOW they are letting the door open for more changes. Like I said IMO all this smell to a potential reverse merger with Crealta in order to grab the NOL tax assets. Someone is buying everything!!! and at the same time closing the short interest too( cleaning the house)... I could be wrong and lose a couple thousands but if Im right then $$$$$..........
On March 18, 2014, the Bankruptcy Court entered an order approving a modified version of the previously filed disclosure statement (the “Disclosure Statement”), a copy of which is attached hereto as Exhibit 99.1. A modified version of the previously filed proposed plan of liquidation (as may be amended, modified or supplemented from time to time, the “Proposed Plan”), a copy of which is attached hereto as Exhibit 99.2, was filed with the Bankruptcy Court as an exhibit to the Disclosure Statement.
http://www.sec.gov/Archives/edgar/data/722104/000119312514103972/d694269d8k.htm
Something happen at the court yesterday that is going to be good for common shareholders. The 27 million shares bid is still there plus 3 market makers are back with higher bid prices.....
Those 27 million shares at the bid is a clear sign that somebody have a plan for the common shares. The question is, what plan?? It look like the liquidation plan is on hold, right??
Thank you very much for the information... Let see how the people in the know react tomorrow and the next few weeks...
Oh yes!!!IMO, reverse merger in the making! WOW!!! level 2 showing ATDF 27,030,413 bid!!!..... is so obvious that somebody want all the remaining shares available. Also the short interest keep coming down....
Here is the mystery part, Why shorts are closing their short positions if this stock is worthless and will be cancel???
http://www.otcmarkets.com/stock/SVNTQ/short-sales
I still believe in the "Reverse Merger" scenario. Time will tell....
PS: IMO, the marker maker "NITE" is willing to buy everything so if you don't believe in a potential, highly speculative recovery for this BK stock, please sell to NITE and move on.....
TonyJoe, is more complicated... Not every shell qualify( Benefits for the new owners) for a Reverse Merger. Between the Sale and previous assets, Creditors will recover between 65-75 cents per dollar invested. SVNTQ will be a clean shell after this BK is over. SVNTQ hold millions in tax benefits that can be transfer to the new entity if they pursue a reverse merger. You have to remember that certain tax benefits can only be transfer to a new entity that is going to be in the same industry and sector. In this case Crealta is going to be in the same business as SVNTQ.
I know that if my bet is wrong then SVNTQ is worthless( as currently the market suggest) but until I see the PR saying is going to be cancel I go with my bet...
Asl777, honestly I don't know. Now that the sale is completed anything can happen. The reason behind my speculation of a Reverse Merger is based on the behavior of SVNT management and the stock trading pattern since the BK announcement. So far no mention in paper(PR) that the stock will be worthless/will be cancel is an indication that something could be in the works. Also since the BK announcement no market maker have tried to play with the stock( something that is very common in this BK plays). Also you can see that the volume have dried and currently you are seeing the same market maker(NITE) moving 1M shares(~$10K) back and forward, while at same time is collecting shares. This pattern plus other things is an indication of accumulation from someone. Now the question is, Are they accumulating shares because they will later push the PPS really high(over 10 cents) and dump the shares or because someone is buying the entire O/S in order to later pursue a reverse merger??
I believe that Crealta(their investors) already own more than 85% of the SVNTQ O/S and will pursue a Reverse Merger. Based on the PPS for the past two months you can have the entire O/S for less than $3 Million. I could be right or wrong so let see what happen in the next weeks...
I disagree, Check the latest 8K and PR. So far no word about the cancellation of the commons. They are moving SVNTQ structure to become a shell stock. The sale is done. The next step should have been the announcement equity cancellation(like many other bk stocks) but instead they are changing SVNTQ structure to become a shell stock. Why???? I go with my speculation of a Reverse Merger. Here some info about the latest 8-K and "Reverse Merger"
Item 5.03. Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.
On January 8, 2014, the board of directors of the Company adopted an amendment to the Company’s By-Laws to reduce the minimum number of directors constituting the whole board of directors from three to one and to eliminate the requirement that the Company have a vice president or treasurer. The amendment to the Company’s By-Laws is attached hereto as Exhibit 3.1.
http://www.sec.gov/Archives/edgar/data/722104/000119312514007497/d656066d8k.htm
PPT- Reverse Merger presentation
http://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=5&cad=rja&ved=0CGMQFjAE&url=http%3A%2F%2Fwww.egsllp.com%2FAlternativePublicOfferings-ReverseMergers.PPT&ei=7fXRUvCTMoXLsASzu4KYDA&usg=AFQjCNEvidL0-ElnLJ-vrCDSTXVV_LWdJA&sig2=PKo4Hfb5FDLkXEJzVuUkDQ&bvm=bv.59026428,d.cWc
More about reverse merger....
http://www.reversemergerblog.com/faqs/
http://stockalyzing.com/penny-stocks/173-shell-stocks.html
Asl777, My speculation is "why they have not come forward with a statement( very common is this BK situations) saying that the equity holders(commons) will be cancel or worthless??". My play is that there is a chance for a Reverse Merger with SVNTQ(shell). I could be right or wrong but until I see a PR saying that the stock will be cancel, I go with my speculative play. The Reverse Merger is an extra "tax benefit" for Crealta so is their option if they want to use the tax benefit or not...
Agree. Someone is buying every share. Im still positive in the possibility of a Reverse Merger with Crealta. Let see...
Another PR with a vague language toward equity holders. The more I look into Crealta Pharmaceuticals the more I believe they could do a Reverse Merger with SVNTQ. let see....
In that case then I expect the PPS to go over 0.10 cents so big guys can unload.
Level 2 is very clear! Accumulation mode...
Is very clear that someone is buying everything. I see three big blocks(over 200K) that come and go at the bid, and from time to time hit the ask to see if people are willing to sell. Let see what happen today....
I see that possibility too. Someone is grabbing every share available. Slowly and steady. It seem like Crealta was created in order to acquired SVNT patents and if they use the "Reverse Merger" option with SVNTQ shares they could use millions in tax credits...
Can you please provide evidence of your experience. Obviously look for companies that were NYSE or NASDAQ before their BK procedure. Like I said previously, from my experience they all come out with a clear statement saying commons will be canceled/worthless. In this case nothing have been said about it. So I still believe in the possibility of a reverse merger with Crealta Pharmaceuticals( created 3 months ago)in my opinion.
Interesting, You might be into something. I have not see in this BK process any PR or court document talking about what is going to happen to commons(Obviously so far is worthless). But my point comes based on my previous experience in others BK plays. The company always come forward with a statement saying common stock is worthless and bla bla bla. But here SVNT management have been really quiet about this issue. mmmmmm!???
Agree, something doesn't add up. They reached an agreement to sell substantially all the asset but not all the assets. Also yesterday after the news was released in the morning, someone was buying over 1M shares... and today we had someone at 0.015 buying every share. In this case we have only two options, either someone is getting ready to trade this hard and fast or somebody know something that we don't. Anyway Thank you very much for been at the court tomorrow. I will follow on twitter....