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Re: AlfonszyD post# 296947

Friday, 11/15/2013 10:43:46 AM

Friday, November 15, 2013 10:43:46 AM

Post# of 326351
AlfonszyD...An Excellent Example
Why would they go private ..with the extra Remaining $15M you stated & BuyingBack shares ..
That Will Cause a Tremendous Stock Surge...& they can sell back some of those BoughtBack shares to Buildup Cash & Payoff the Dept. ..
On such an event NEOM would surge to over $7 - $10 Easily on a Massive Reduction in Shares...& a Bullish Optimistic Investment in the Company. ..

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Not necessarily, it would be the similiar to a reverse merger sometimes used by private companies who wish to acquire a public company. Sure ownership does technically change, but not in regards to the 382 rule that would wipe out the NOL's.

The parent(shell company...Neomedia) would be merged with the purchasing subsidiary Company A.

Ex) Company A lends Neomedia $50M with convertible debt inst.
Neomedia buys back it's own debt from YA for $35M
Neomedia then buys back it's own shares with reminding $15M and privatizes itself. So Neomedia buys itself(no change of ownership for the 382)
Neomedia remains the parent Parent firm(shell company) that retains its NOLs but is controlled by its own subsidiary...as long as the Shell company
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