Shareholder Letter Final Draft I think if we respectuflly send this in on masse, the message will get through a little deeper. I have sent - please share, and write SENT if you have forwarded it to SVC management. GLTA!
Re: Sandvine Company stock performance
Dear Mr. Caputo,
We write to you collectively as investors of Sandvine Inc. (SVC.TO) to voice our strong concerns regarding the companies management, as well as the share price action over the past several years. We respectfully invite you to respond to the concerns outlined within this mailing.
1. In spite of of a considerable net cash position, and a much broader customer base, shares of Sandvine continue to trade well below 2011 highs. Indeed price action for the company stock has largely been stuck within a $2-4 (Can$) range for the past several years. In lieu of the aforementioned, we have considerable difficulty in taking current management at its word that it is looking to create shareholder value.
2. Given the aforementioned, will management shed light on strategies to increase shareholder value? Is the company considering a purchase of/investment in a smaller company? Will the company increase the share buyback program beyond 10% to further decrease the current share float? Will management consider an increase to the current dividend amount? Surely the status quo approach will continue to yield more of the same.
3. What is the status of the court proceedings in the US in regards to the US patent troll?
https://www.pacermonitor.com/public/case/10751782/Packet_Intelligence_LLC_v_Sandvine_Corporation_et_al#
4. Is the company currently considering buyout offers from larger companies in the industry?
5. If the answer to question 4 is no, then is the company considering a broadening and or a restructuring of the management team to further broaden the investor base and capitalize on a more proficient sales and marketing strategy. We believe that the 60% reduction in growth outlook for the coming year is a huge red flag for the companies current management and that changes should be considered at this point.
6. Will Sandvine considering uplisting to a major US exchange to broaden access to US capitol?
7. Will Sandvine consider a more detail-specific approach to PR? Research papers are just that, long on speculation and prospects, but short on sales specifics. Given the disappointing quarter, reduced 2017 outlook, and current PPS action, we feel the company will need to be more aggressive and detailed in in its self promotion efforts.
As long term investors in the company, we are excited by the companies pipeline and prospects within the IOT sector. That said, Sandvine is a publicly traded company and needs to observe the needs of its shareholders, both in terms of growth prospects, publicity dealings and PPS value.
We hope you will hear our concerns and would appreciate a formal response to these concerns.
Sincerely
Name:
# of shares held as of Dec 11, 2016______________________________