Nasty BusinessI am a large shareholder of FR and not a basher, however the action since the September 7th meeting reeks of shorters and dumpers on this stock.
By all appearances, Mr. Newmeyer is quite a hustler.... he shows a 7 dollar stock to the FSR shareholders when they want to trade two 2 dollar shares for one, then then at the last minute when the deal is done, he substitutes a 60 % down stock and forces them into the cash option.
How do I know it was a FR scheme ? Well the news about Dios Padre was just so suspiciously released on the day of the meeting. Management did not have to release that story, that day, but CHOSE to release it that day. Obviously the reaction was way overblown and was FR paid intermediaries trashing the stock down.... the Dios Padre story was only a cover for the takedown.
Now these guys are leaking broker rumors of ultimatums to take the cash option. KN shows a carrot on a stick, but substitutes it with a dirty turnip at the last minute. FSR shareholders screwed.
Short term shrewd..... long term stupid.
FR may get FSR assets cheaper, but the shareholders have to go on a nightmare roller coaster ride. Management and the stock are damaged by credibility problems in the long run.
Not a very smart move.