WELL Health Technologies Corp T.WELL

Hamed Shahbazi Insider Ownership

[monty613]

I know many posters on here have disagreed with my position that Hamed will sell, but you simply cannot ignore the huge insider stake he has in this company. ~21MM shares including the options and RSUs. that is certainly nothing to sneeze at.

how do you get out of that size of a position? you sell.

the stock is ripe for a break-up/shake up seeing how telehealth multiples got smashed in the last 6 months. I really think we'll see something on the Circle/WISP fronts as they have some optionality there for a spin-off.

thoughts?

Direct Ownership 

 Common Shares 12,288,964 

 Options 1,900,000 

 Preferred Share Units 300,000 

 Restricted Stock Unit 384,950 

 

Indirect Ownership

 Common Shares 6,456,629

 Convertible Debentures - Common Shares 75,000

 

[HotDiggityDogg]

I fully agree that CEO will sell. No doubt about it. Question is if there are buyers for it with the current Macro conditions and if he missed the opportunity to sell and now has to ride out the valuation compression until sentiment changes. 

[brandinvestor]

There's no doubt about it, I don't believe the entire C Suite takes a salary, I believe they all earn stock options instead. He sold his last company, and I believe he's setting this one up to be sold as well, especially seeing that all of their largest investors are taking stock rather than interest payments meaning they would be set up as well to profit hugely from a sale. 

[speedy99]

i don't see why it would be the size of the share ownership which would dictate how motivated you are to sell.  Whether you own only 50 shares or you own 50 million shares, you will hang on if you think you can sell for a better price sometime in the future and you will sell if you think you are at or near the ultimate value and share price.  It is highly unlikely that Hamed believes

[monty613]

some fair comments speedy99. I just think when you own 21 million shares, versus 21, when someone waves a $5+ premium per share in your face you think about it a little more closely. the analyst targets here are almost all based on a sum-of-the-parts approach and I don't think the shares get there without a take-private / takeover scenario, or some combination of a spin-off and sale. maybe I

[HotDiggityDogg]

Can you explain what you mean by a +5 l$ premium ?  premium on top of what stock price ??  just curious...

[jdsd0517]

The buik of the CEO's wealth came from the TIO deal, where he made about $14mn give or take.  That's very good, but not "stratospheric."  That's one nice house in Vancouver or Toronto these days. Decisions to sell are far more complicated than believing you can get a better price in the future.  What if you needed the money today?  What if there are

[HotDiggityDogg]

Couldn't agree more. Also don't forget that CEO made very large investment in another company which has so far failed and lost over 80% of its value since IPO.  I think an offer of 6-7$ a share would be both recommended to the shareholders by the Board and very much welcomed by CEO. Question is would anyone see the value in today's market conditions...    

[bandit69]

Doubtful.  Time is needed for the excessive acquisitions to show their substance (or lack thereof) in future quarters.  I still say it'll float down under $4 eventually. Speaking of acquisitions, what would you say the odds are that there were so many "good" deals out there so ripe for acquisitions within a year?  Especially during a pandemic when, apparently

[monty613]

Buffet isn't exactly dabbling in deals in the hundreds of millions. valuations are frequently out of sync for public companies like this. I can't speak to the EMR or "tech" acquisitions much, but WELL bought CRH for a bit of a steal when it tanked on the news that their biggest customer (GAA) was shopping their contract. GAA is the *only* client where CRH is simply a vendor to

[Noshortsallowed]

Great analysis Monty. Here comes the part where the bashers get insulting.

[bandit69]

Yes, bearish I suppose.  It's my choice and I have my reasons as you have yours for being bullish.  As I have said before, if you are a fan that's just fine.  To each their own.  I just don't get it and if I don't get it then obviously it doesn't make sense for me to buy in to it.  But I like to observe from sidelines, it helps me learn and hopefully

[jdsd0517]

I actually agree with much of what you said. Unfortunately, the cash flow to WELL from these subs gets significantly diminished by corporate overheads.  The net result is that the cash flow to shareholders doesn't support a significantly higher price, especially in a rising rate environment (ergo my comment after earnings that this stock is basically fully valued).  That comment is

[bandit69]

If it is the same co I am thinking of, they have yet to release their 2021 Q4/year end earnings.  Does that make them late? lol

[Noshortsallowed]

I see that more as an investment like the rest of us. He believes in the trajectory of this company and the value of holding on to the investment just the same as the rest of us. Simply touting the amount of stake in the company he has as evidence that he wants to sell seem incongruous to the history of his insider trading; which has only been buying.

[HotDiggityDogg]

If CEO took the first buyout offer at 7$share... will you change your name to " absolutely-clueless"