RE:RE:RE:RE:RE:RE:Much Ado About Something!RH and Capponi will make out like bandits, make no mistake. They're compensated for their services quite hadsomely at the moment and as you said, are heavily invested as well. RH has already made a boat load off of the initial takeover of Galway.
The share price won't remain here forever and regardless of what the market price is at, RH will ensure a reasonable price is negaotiate based on the value he knows is there (regardless of what the market is saying) otherwise he won't sell. He did a great job for us in Cali and will do so again here.
The share price benfits Galway and CB at the moment, only in that it will help them shore up their affairs for a takeover without having to raise additional capital. I don't see either one of these companies raising funds again. IMO they will be taken out before that is necessary.
The biggest benefactors of the low share prices are those who will ultimately consolidate the area, whether EB or whoever else. I suspect they are quietly gobbling up these deep discount shares so when they eventually pay a reasonable price to take them over, the actual cost of the acquisition will be reduced by however many shares they are able to scrape together at these prices. RH doesn't mind the manipulation because he knows he'll get a fair price at the end of the day and he himself has continued to accumulate at these levels.
I don't see the share prices being this low at the time of the takeovers either. They will gradually ascend leading up to the takeover once everything is primed and ready to go.
Galway, a month before being taken out, was trading south of a buck only to be bought out weeks later for $2.05 plus the spincos, which in my opinion were worth more than Cali. RH has already made a ton and will make a ton more before all is said and done. Same with Capponi.
BH