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AXIA NETMEDIA J T.AXX

"Axia Netmedia Corp owns, operates and sells services over fibre optic communications networks. Its reportable segments are The Covage segment and The North American segment."


TSX:AXX - Post by User

Comment by 499ccson Mar 09, 2016 8:14pm
593 Views
Post# 24641520

RE:RE:RE:So is Axia going private? Should we hang on to our shares?

RE:RE:RE:So is Axia going private? Should we hang on to our shares?I elected not to wait for the deal to get approved...sold my entire stake today at $4.20. I think there is only a very slim chance it won't go through. It's not like there is or ever has been a lineup of suitors at the door, and management and other insiders have already pledged 22 percent of the outstanding shares to the deal.

When the company switched its focus to broadband networking in the early 2000s, it was a reasonably compelling business proposition. They didn't grow fast enough or big enough to be anything but a minor blip on the radar, though, and no matter how much money the new partner throws at it, the days of bandwidth buildout being sexy - or anything but minimally profitable - are long past. 

Having the opportunity to cash in at this valuation is more than I was hoping for in the short to medium term. My "throw in the towel" price was $4, but wasn't expecting to see that for at least a couple of years. The extra 20 cents today was a bonus. 

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