RE: Merger or acquisition????"How long does one should keep a failing prospect on life support?"
Spinner you said it yourself, once they filed for bankrupty, some of the parasites at Napier were dumped, costs came down and they are doing okay, good product, plenty of manufacturing capacity, with improved marketing they could make a lot of money.
Shareholders liked to complain about Salaries those at the top were getting (twice those of SCS) and the fact they were not dleivering, but other than complain on the board did nothing (me included).
There are many big differneces between the two compnaiers spinner. Napier had good product, good delivery, poor unfocused marketing.
SCS has poor delivery both in terms of installations and product development (I excluded tech7 from this comment). SCS have always had lots of success at marketing, just not at converting into income, very very differnet companies and issues.
I think Napier shareholders got what they deserved becuase they didn't act. I think we as shareholders failed to support SCS last year, this wasn't long term life support, Solarnet was already all but dead, programmers and technical director long gone. TT/SB was a new project, new leadership, needed finishing and installing, they finished it on a shoestring by marrying in 3rd party booking engine and bypassed some development delays. This whole project kicked off 2003, and a lot was acheived with minimal money and given minimal technical staff, not too much time. It could have been much faster, but that would have taken financial support that few were willing to offer. Tech7 is a success story and carrying the rest of the compnay. TT/SB slowly coming to life as systems are delivered, but way too slowly for any of us to make any seriousa money, and it might all vanish from our graps just as the compnay sees profitability, not unlike Napier in that respect.
If we all stick we might all lose our shirts on this one.
Whether you bail or raise is a up to you.
jmo
"Just one that was not already used to get the last $600,000 that was going to allow us to be cash flow positive and is now gone and needs a new PP."
Gone very quickly, mainly on debt, 50% raised by Pat and Frank!! Was that cash into the buisiness or was that shares in leiue of directors loan accounts becuase they were not taking salary? SO maybe they only raised $300K real cash, almost a year ago. Plus chalres walkers debenture for $180K. I forgot, as you say there was also $200 face value shares from the LLX deal, which they were getting 80-90% face value for.
Reorg is definitley a danger without cash injection.
If Pat and Frank were so keen to reorg and lose shareholders, or walk away having made their fortune, would they be trying to do a PP or talking to companies about loans at the end of last year? They consistently are seen trying to keep this ship afloat long enough to see it profitable and their shares appreciate.
I didn't see what Pat wrote to erasure in the email, but read something about they were talking to someone in europe. Conicidently europe10 said they would take down all of the PP if necessary. Make of that what you will, seems there is at least one person willing to ensure the survival of the company.
I hope it is netiher merger or aqquisition, hoppe for small PP now, profitability, and larger PP at higher SP to get Markahma up to speed. Markham / TT/SB need both money and the right additional people at all levels to make this work. I am sure Pat and Frank know they are not the right people to manage Markham, and have not plans to move to Toronto to try. It's in all of our interests to see it succeed.
"And to top it off someone at TD that is part of these large shareholders has clearly broken rank and his hammering the stock, why? because they are bailing or because they are trying to bring it down to it's knee in order to make the best possible deal possible under a re-org? "
As to the sellers, I don't have an opinion Spinner, your analysis may be right, or it maybe someone cutting their losses, genuinely have no idea who it is or why they are doing what they are doing.
Idle