I tendered my shares in this POS with what I consider dishonest management.
Followed Biglari in here and its proven to be one of my worst holdings over the last few years.
Looks like Im going to be cashed out of about 87.5% at $4.20 and wouldnt be surprised if they followed that up with an odd lot tender offer to cash small fries all the way out.
My avg cost is about $3.58 so Im going to make about 17% but for a 3.5+ year hold, thats not very good. And most of my stocks have done much better in the same time period.
A 13d holder is doing a proxy fight but my guess is they wont get the votes with the tender offer cashing out 1 million + shares.
Oh, apparently I got about 26.5 cents in dividends so my return is more like 24.7%. Still not great for 3.5-3.75 years. But it beats losing money.
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ITEX announced today the preliminary results of its tender offer to purchase up to 1,000,000 shares of its common stock at a price of $4.20 per share, which expired at 12:00 midnight, New York City time, on Friday, April 13, 2012. Based on the preliminary count by OTR, Inc., the Depositary for the tender offer, approximately 1,226,253 shares of ITEX's common stock were properly tendered and not withdrawn.
Accordingly, in accordance with the terms and conditions of the tender offer, ITEX expects to acquire 1,072,827 shares of its common stock at a price of $4.20 per share, for an aggregate cost of $4,505,873 million, excluding fees and expenses relating to the tender offer. The total number of shares expected to be purchased in the tender offer includes an additional 72,827 shares purchased pursuant to ITEX's right to increase the number of shares purchased by no more than 2 percent of its outstanding shares, without amending or extending the tender offer. The shares expected to be purchased in the tender offer represent approximately 26.5% of ITEX's currently outstanding common shares (including shares of unvested restricted stock).
Since the offer was oversubscribed, the number of shares that ITEX will purchase from each tendering shareholder will be prorated. Based upon the preliminary count by the Depositary of shares tendered, ITEX estimates that the proration factor will be approximately 87.5%. |
