The latest deal with Blazehas given me indigestion. On one hand they bring like minded ability and canning capability, plus the seem to have a distribution network.
Tinley doesn't need the manufacturing at present because we have our own.
Are these guys the marketmakers that have been suppressing our shareprice or did they just jump on Tinley at a low point?
I don't know why Rick needs his name in the deal and we don't need his Algonquin company involved.
I'm allright with the borrowed money interest rate but why do we have to secure it with 50.1 % of the company.
What are Blaze/Delta after? Recipes, IP, more capacity to manufacture or licensing!
I find it "iregular" that our loan could cost us half our company because it has devalued our asset that is valued by the shareholders at 15 million dollars or so and it only generated the value of the loan.
Why did we need to discount this and if these guys are interested in our company why are we considering selling it before we start to realize its potential as a moneymaker with 2 streams of income, 3 if you count Beckett's.
Most of these takeover deals are usually done for multiples of shareprice or price to book multiples.
I do welcome new blood, especially with a track record of success in the same field. I'm not sure what our "team" or some of our team was contributing to our success which current management didn't share with us or get excited about.
If we are putting control of our investment on the block, I would like to see other offers or to hear what we have done about marketing us to potential suitors.
I can't help but get the feeling that this whole thing has been orchestrated for the benefit of management or their friends.
I am trying to justify my willingness to stay invested when I see, with my eyes, a very different story unfolding.
Why do we have to offer up control of our company which is relatively debt free and on the verge of showing revenues and profits when the lenders are getting a fair rate for their investment.
If this suitor was in Nevada or another State it would make more sense to me or are we trying to Red Bull or Monster our sales such that we need more bottling capacity.
I would love to see that ambition unfold or at the very least wait 'til we can show some numbers and then go on the block.
This kind of deal circumvents the shareholder vote of approval, just like a privately run company where reporting to investors doesn't have to be done like publicly traded companies.
I am glad to see that we have a suitor but at a price to existing shareholders.
Anybody else got an opinion on this deal?