Replies to post #249 on Impac Mortgage Holdings Inc (IMPM)

[kyeh]

IMPHO vs IMPHP risks

Ok, I rattled on a bit on my last post so I will just put it plainly.

1) In order for IMPHO shareholders to profit, IMPHP needs to win. There's no path for IMPHO shareholders to profit unless the argument for IMPHP wins.

2) The same argument does not apply for IMPHP. IMPHP shareholders can win even if IMPHO shareholders are left out.

3) #1 and #2 are true because IMPHP received less than the required 66.67% required votes. IMPHO did receive the required number of votes.

4) Even if IMPHP shareholders win, there's no guarantee IMPHO shares will benefit. There's certainly a viable scenario where the judge rules in favor of IMPHP but rules against IMPHO.

As I stated in my previous post -- Judges could have a completely interpretation of the law than us board posters. There's an inherent risk there that the judge sees things differently for IMPHO vs IMPHP which is why IMPHO is valued at roughly 1/2 of IMPHP right now.

[dpsimswm]

I am not investing for the lawsuit outcome.

Even if the IMPHP shareholders lose, I think the IMPHP and IMPHO shares are undervalued. They have $25 liquidation preference and voting rights.

Regardless of what Joe Stocks is trying to say, that is a value driver. They have value in the long-run, if the company survives.