>GT Interactive just bought out Humongous Entertainment
>on Friday for $80 Million.
>Translated, thats $4 a share for SW!
Translanted? Huh? I don't get this math. Are you trying to say that SW owns some Humungous stock and they made $4.00 a share? Please explain.
>SW has over twice the catalog, and the titles have basically
>all been already expensed. The balance sheet is sqeeky clean.
>Plus they have free entertainment division leftovers to sell.
SW may have over twice the catalog as Humungous, but that doesn't matter squat when you've got Fatty Bear AND Putt-Putt in your stable. Catalog != value. If you've got two solid products in your catalog, that's better than 16 loser products. And, for the last time, the balance sheet is NOT sqeeky clean! SW owes for their licenses and their bank line of credit. Let me say it again: they are still in debt, they still owe money to vendors, the bank, their employees, etc. etc. etc. And free entertainment leftovers to sell? Like what, Ripley's Believe it or Not and Journeyman/Buried in Time? These products have had their day in the sun and are worth only their bundling deals now. Orion Burger is gone, Metalwerks (the joke that it was) is gone and the entire entertainment studio and technologies are gone. There are no entertainment properties left.
>SW has established distribution and shelf space, H was still
>working through Electronic Arts distribution.
Excuse me? SW has established distribution and shelf space? You mean with Strategic? I don't think so...strategic has NO educational titles in current distribution and while they may have established distribution, they do NOT have established space in the educational shelves. Humungous was working through EA, but so was SW up until last year. And now SW is working with another strategic partner again.
>PLUS(New Revelation just confirmed) :
>Franklin, SW's big money character, is getting his own TV
>show and FULL FEATURE MOVIE! Franklin is getting positioned
>to the BARNEY OF '97!
Did you know that SW sold the option to Hawaii High a few years back as well? Do you see a Hawaii High movie or a Hawaii High anything? No? Well, that's because buying an option means NOTHING. If you get back to me here with a production company and/or animation studio that is actually working on this stuff TODAY, I'll believe you. Otherwise, there is no way that Franklin is going to be the Barney of '97 on a 6 month development cycle.
>Thats why Travelers recently maxed out their holdings at 20%(by
>co. charter) and the Wisconsin Pension still is maxed out at 10%.
The Wisconsin State Investment board is still in because they are dealing with the pension funds of all the public sector employees in Wisconsin. They're holding on because they have no choice but to wait. Now that the snake oil salesman Brian Beninger who sold them in the first place has snuck off under a rock, all they can do is put pressure on Mz. Walker.
>They're going for $8-$10 on a buyout, and I'm along for the ride!
Yeah, I think you'll be going for a ride all right.
Bart.
ps. Since I haven't been able to really convince anyone of what a dog Sanctuary Woods is, I'll just shut up and lurk for a while and see how this whole thing turns out. Best of luck to you all! |
