RE:RE:RE:RE:RE:RE:STRATEGIC REVIEW
Hey Frankie, you make a compelling case (as usual) and as noted in prior post, hard to argue your math. Having said that, I will push back for a few reasons. Firstly I have been fairly vocal about his thus far failed experiment of playing "hedgie". You just don't know where you end up with this stratagy, hard to valuate moving target. I recognize in the grand scheme of things it has been a relatively small window timewise but thus far has proven to be arguably a failure, not to mention jeopardizing our balance sheet at a time we can ill afford to. It's one thing if your own business is rock solid and you are venturing (even unconventionally) trying to add value. Quite another when you are sinking like a lead balloon and your own SP is tanking. The suggestion it would be an easy enough sell to Dream in that Cooper has abandoned his shareholders, I think same might be said about Manji (perhaps not directly) in that while his own company is/was flailing and needed attention he is off trying to aqcuire other companies because of their discount to NAV all the while Artis discount to NAV was even greater. Kind of like your army collectively leaving their base to war only to find their own base then invaded and taken out. To that extent, I think Manji will soley be judged (at least by Dream) by his tenure at Artis and what his accomplishments or lack of have been. His botched run at FCR is still fresh in everyone's mind. He not only failed miserably, he was essentially humiliated in the process, and I consider myself more or less bias.
I guess, if we were flush with cash and had zero concerns with the balance sheet and debt, I would be far more inclined to let this play out. Perhaps Manji has all the assurances he needs to this regard but I have my doubts. IF, this were the case, there is little doubt in my mind NOW is the time to make a move, problem is Manji shot his load prematurely so to speak and that both bothers and concerns me. Conventional wisdon says, reduce debt, shore up balance sheet then play. Artis can ill afford a sizable mistake here, I know you will agree with that.
On a final note, don't let foreskin prohibit you from posting here. There are two or three people that I truly enjoy hearing from and you are one of them, otherwise forced to deal with the drivel. Take care.
DZ