Well, the SPOR tender seemed to be very highly subscribed, the company getting all its shares at $4.80, so I'm guessing it may go back down. But, who knows?
That being said, I'm considering a position, but I have one main questions for the SPOR crowd:
It seems like SPOR hasn't been very profitable over the years, but its cash flow from operations has been relatively strong, which in a play like this with the potential of going private is more important than GAAP earnings (can I still call myself a CPA after saying that? Is anything more important than GAAP? :))
That being said, what are the odds of this continuing given the recent broken deal with Walmart?
I like the fact that the company is showing signs of trying to increase shareholder value through the tender, I like that it's a NCA play, and I like that it's cash flow positive. But, at what point would i buy is the question.
Thanks,
cw |
