It was epic... could SECI be equally as epic? Time will tell.
If, and clearly this is a big if, the October 21st verbiage in the court transcript meant that the parties were participating in out of court, private, closed door mediation, and at that time, terms of a settlement were reached, which were then brought to the bench on the 27th in open court, and the judge at that time reviewed the settlement and deemed the case settled with prejudice, then this will indeed will get silly. Terms could and would very likely remain private until an 8k was filed. Mediation settlements happen all the time and remain undisclosed to protect both parties for a variety of reasons. So there’s that.
There’s a lot to unpack here. Interpretation is creating multiple scenarios of speculation. For me, if the stock currently has buyers, clearly the SP will continue to go up until the details of the settlement come to light. If royalties are part of the settlement, then the valuation of SECI will be sustainable regardless if there is a special dividend awarded to shareholders even after cash is dispersed. Many possibilities.
My last thought has to do with the liquidity of Dutro. If indeed an award was part of this settled case, how liquid is Dutro? Royalties and a percentage of paid forward revenues are a means of collecting on arrearages, but to be able to garner a large cash settlement from a company the size of Dutro seems unlikely. Again, this is all speculation based on a positive interpretation of the court docs and the word settled with mediation taking place on the 21st.
Good luck to all.
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