GBIX - Globix Corporation (fka GBIXQ)

[Stock Lobster]

Never said it was but even so, it was running yesterday before rooter or I even saw it. This was the only reason we could imagine why:


GBIXQ is still a bankruptcy stock, hence the 'q', and has since been replaced by the post reorganization ticker symbol NGI, which trades on the AMEX.

However, this is where the situation could possibly get interesting:

From what I can tell (to be confirmed by a phone call tomorrow) it would seem that if you owned 100K shares of GBIXQ, per that company FAQ, you would still have the 'right to receive' 390 shares of the current stock (using the .0039 multiplier they specified) which at today's PPS for current NEON common stock (NGI, $4.77) would be = $1860.00,

If true, and if this provision is still being honored, not bad for a $250 purchase, and might explain why the stock was being accumulated today. The "q" shares were cancelled, but still have a degree of value.

Of course, providing that this is indeed what rooterjack discovered, and if this read of the Globix/NEON FAQ is correct:

http://www.irconnect.com/gbxx/pages/faq.html

All of these shares were cancelled as of the April 25, 2002 effective date of our bankruptcy and were converted into the right to receive 0.003928611 shares of the common stock that is currently traded for each share of pre-bankruptcy stock. In accordance with our plan of reorganization, no shares of fractional stock will be issued and no cash will be paid for fractional shares. Stock certificates representing the pre-bankruptcy shares bear the CUSIP number 37957F10 1.

Holders of the pre-bankruptcy stock may obtain a letter of transmittal to use for the exchange of the pre-bankruptcy stock by writing to Mellon Investor Services LLC, Attn. Reorganization Dept., P. O. Box 3447, South Hackensack, NJ 07606 or by phoning the Mellon Investor Services Reorganization Dept. at 1-800-777-3674 (if you are calling from within the U.S., Canada or Puerto Rico) or 1-201-680-6579 (from outside the U.S.).

Shares of pre-bankruptcy stock traded from time to time in the "pink sheets" following our bankruptcy. Transfers before September 21, 2006 will be honored.