One possibility to keep in mind is the following: stock moves to expert market with limited financials available > stock price drops > Kamin gets the company into better shape > performs a reverse split of say 250,000-1 for a medium price, leaving only a few shareholders, then sells the company to a third party for a higher price or uses the company as a dividend cash cow. Everything works as hoped for with one exception, regular shareholder are cut out of enjoying any of the benefits (this seems to be happening at CLWY).
Very good point and I hope people see this comment.
Like I mention in the Risks section, "there is no guarantee that Kamin will ever be able to successfully sell the company, what that timeline might be, or if that is even his actual intention."
I'd take this into account when determining position sizing --and maybe that risk probability results in a 0% position for people.
Could you tell me more about the CLWY situation? I'm not aware of it's full history and the OTC filings are rather basic; was there also a string of failed sale attempts of the business?
Do you know what the outcome of this was from that Oct 28 meeting? From what I see on the OTC Markets site (https://www.otcmarkets.com/stock/CLWY/security), there's been no splits recorded.
I do have a small number of CLWY shares at a broker. I have not heard what the final outcome has been. The stock still appears to have bid and asks at the Expert Market. What I do know is that in order to see the current CLWY financials one has to sign an NDA. Furthermore, I understand the price paid for the CLWY Reverse Split, if completed, is much lower than most shareholders think the company is worth or where it would likely be trading if the stock was still available on the Pink Sheets market. I do believe Mr. Kamin is a great investor and company manager. However, I am concerned that, when possible, he would like to keep most of the spoils from his hard work and his investment dollars; he may be less interested in the investment returns for those of us who hang on for the free ride.
One possibility to keep in mind is the following: stock moves to expert market with limited financials available > stock price drops > Kamin gets the company into better shape > performs a reverse split of say 250,000-1 for a medium price, leaving only a few shareholders, then sells the company to a third party for a higher price or uses the company as a dividend cash cow. Everything works as hoped for with one exception, regular shareholder are cut out of enjoying any of the benefits (this seems to be happening at CLWY).
Very good point and I hope people see this comment.
Like I mention in the Risks section, "there is no guarantee that Kamin will ever be able to successfully sell the company, what that timeline might be, or if that is even his actual intention."
I'd take this into account when determining position sizing --and maybe that risk probability results in a 0% position for people.
Could you tell me more about the CLWY situation? I'm not aware of it's full history and the OTC filings are rather basic; was there also a string of failed sale attempts of the business?
Did see this 1-for-20,000 reverse split controversy (https://x.com/ThereWillBeQE/status/1838934008161292302 , https://materials.proxyvote.com/Approved/131255/20240913/NPS_586747.PDF); very disappointing and certainly worth consideration in PMD's case.
Do you know what the outcome of this was from that Oct 28 meeting? From what I see on the OTC Markets site (https://www.otcmarkets.com/stock/CLWY/security), there's been no splits recorded.
I do have a small number of CLWY shares at a broker. I have not heard what the final outcome has been. The stock still appears to have bid and asks at the Expert Market. What I do know is that in order to see the current CLWY financials one has to sign an NDA. Furthermore, I understand the price paid for the CLWY Reverse Split, if completed, is much lower than most shareholders think the company is worth or where it would likely be trading if the stock was still available on the Pink Sheets market. I do believe Mr. Kamin is a great investor and company manager. However, I am concerned that, when possible, he would like to keep most of the spoils from his hard work and his investment dollars; he may be less interested in the investment returns for those of us who hang on for the free ride.