Box Ships Inc (TEUFF)

[ivfk]

My guess is he recovered around $140,000 on this deal but he also lost an arm and a leg on the purchase of 36,000 TEUCF shares (The original issue value was $25 PAR per share at 9% dividend). His purchase price could have been as high as $900,000 and he also foregoes the $162,000 outstanding dividend payments that have accrued over the last 2 years. At least he gets a nice write off.

For Box Ship this deal is a win win. They got rid of their outstanding dividend obligation and reduced the investors owned O/S of the preferred to 664,000 (not including the shares of the CEO/Neige). They also distributed the voting power of investors which is not so good for Mr. Chu.