RE:RE:RE:RE:ICR Conference - Video Q&A w/ ManagementQuincy2000 wrote: I thought that was an important point... not a done deal yet with UD. It's comforting to know that the agreement (not sure I quite understand it) with UD is much different than the other acquisitions. Anyway, this thing is still cheap if you remove 100% of UD.... and it can be argued that what remains (ex. UD) is higher quality revenue.
But know what would put some icing on the cake? An insider buying some stock... just some man. Like $50K would be nice. Who knows... maybe they can't because of compliance restrictions. Possible.
the key difference from UD is almost *all* of CRH's other anesthesia contracts are joint ventures (JVs) with the GI doctors themselves - so the GI doctors can't really "cancel" or shop the anesthesia contract as the doctors also hold minority interests (49%, sometimes 25%) in the anesthesia practice themselves. their interests are aligned. they make money from the anesthesia business, but no longer have to manage it, manage the billing, manage the staffing, etc. this is the KEY value proposition by CRH. they are going around the country getting doctors who own their anesthesia businsses to monetize them and leave the management to CRH.
in the case of UD, UD runs the GI practice and CRH owns 100% of the anesthesia entity. i suspect UD is either a) creating their own anesthesia business or b) has influence from their private equity owner to contact another anesthesia provider, other than CRH (ie. an entity related to the PE firm?). the interests between the GI doctor and anesthesia provider are not inter-linked and intertwined like they are with most of CRH's other partners. CRH is simply a vendor to UD and is more easily replaceable. though i am still not sure why UD would shop the business other than the points above, unless another firm would kick-back some of the anesthesia $$$ to UD (whereas CRH doesn't as they own 100%).
re: insider buying - doubtful they could do this right now given Dec 31st year end. they have knowledge of what 2020 results look like. they are likely in a blackout period.
in any event, i have been in this stock a long time and there has never been much of any insider buying. management owns a ton of stock already and they are compensated quite well with new options/shares every year. they are HIGHLY INCENTED to see the share price move. look at how much stock they own - Tushar Ramani has 1,630,000 shares. he obviously is working to see the SP move much, much higher. i believe there is also sometime in his contract about benefitting if a sale of the company is made (likely the long term goal here, build it and take it private). CFO Richard Bear sold his previous company, ID Biomedical, for $1.7 billion to Glaxo Smith Kline in 2005.