Let me put out my thoughts on ISGI and see if someone can
correct me or add to it. Here goes...
ISGI is a holding company with three divisions. One is a
Real Estate division, another is a Credit Union Service
division, and the third is a Telcom division. Now ISGI says
will "spin off" the real estate division, so it can focus on
telecom. Does that mean we can also expect ISGI to
"spin off" the Credit Union Service division?
If they "spin off" a company "to the share holders" through
a "stock dividend", does that mean that they will make each
company seperate and trade under different tickers?
If so, and a person owns 30,000 shares, how will that effect
his portfolio? Will ISGI become the TWT part and the 30,000
shares be invested in TWT, with ISGI giving me a percentage
of shares in the other "spin off" divisions. Or will my 30,000
become a Real Estate stock with a few shares of the Telcom
division?
I have seen a holding company "spin off" before. The total
number of shares remained in the original company and all the
stock holders where given shares in the "spin off". Somwhere
around 1 share for every 50 originally owned.
Now, if ISGI does something like this, the question is...will
ISGI be the telcom division, meaning my 30,000 will be in
TWT and a "stock dividend" of a certain amount in the
"spin offs"??? This would be great! But if it works the other
way and I get 30,000 shares of a credit Union Service and
a "token" piece of TWT...I would seek legal counsel.
These concerns could be the reason we have not seen the
stock move. But my ideas could be completely off! I just don't
know. If anyone else has an idea or can tell me if I'm way
off, please do! I am confused with this issue and since we
don't have a clear picture from ISGI, I have to speculate.
Where do we go from here? Stephanie...Bob...Flint...Luckie...anyone...
even Mr. Pink.
Mike Sawyer |
