WELL Health Technologies Corp T.WELL

More downward pressure

[Bondgal]

WELL completed last 1/3 of $30M WELL note to shareholders of one of their recently bought companies . So there is $10M of WELL stock issued, most I assume trying to be sold in the number of days/weeks.

[monty613]

that's a bit of a far fetched speculation considering MyHealth received $82MM in cash on closing plus $94MM satisfied via WELL shares. doubtful they are running out to sell their $10MM from the last and final prom note payment considering the amount of shares they took as part of the sale of their business. MyHealth easily could have sold their company for a cash on closing deal to a PE

[jdsd0517]

That is absolutely NOT far-fetched, not in the slightest. Imagine you are a shareholder of MyHealth.  The closing amount you thought was worth $176m is now worth $112m, so you aren't a big fan of the stock. If WELL satisfies its $10 million payment in shares, you aren't going to be a big fan of getting even more magic beans.  It doesn't really matter how well MyHealth is

[monty613]

neither scenario is an absolute given because we have no idea what MyHealth owners did with their shares. they are not WELL insiders. I stand by my comment that it's far fetched to thing they would liquidate the proceeds of the prom note payment if they are sitting on that many shares already. common sense would tell anyone that if management opted to take cash + shares for the sale of

[jdsd0517]

This is not a personal attack, but your position is poorly thought out: - you have no idea how many shares the holders of the acquiree still hold, it might be all of them, it might be none.  Given that, you can't assume that "they are sitting on that many shares" - there are many factors that go into deciding which bid to take.  In most cases, a cash + stock offer has

[Noshortsallowed]

You do realize that you first said that Myhealth previous owners have see the share portion of the sale drop in value and are therefore selling for that reason and then in your latest reasone to Monty you turn around and say they aren't selling because the value of the stock has gone down.  Make up your mind. You are the king of moving goal posts.

[jdsd0517]

*sigh*. that is not at all what I said.  You should stop reading my posts because it is pretty clear that they are above your level of thinking

[LarryBird]

Couldnt agree more. There are a few insiders, and a number of clueless followers of those insiders who have never ONCE admitted that this is a broken stock. It would be nice if they acknowledged that the Q1 Earnings were not exactly a home run and that if they were, stock would have buyers. Im personally so tired of hearing about a 2% short position as the reason this stock has tanked so bad. If

[monty613]

rationality, preceded by your assertion that the "most likely scenario" is that MyHealth vendors are selling all of their stock and it is putting pressure on the share price? and my position is not well thought out, but you think they are selling $94MM in stock received at a *massive* loss to buy cottages and cars? even after receiving the windfall of cash consideration with the buyout?

[jdsd0517]

What do you mean by "massive loss?"  Do you know the cost base of MyHealth vendors?  They might be making healthy profits selling WELL at $3.50.  Why assume that the cash offers were near the WELL offer?  Maybe they were much lower? Respectfully, your assessment of investor behaviour is badly coloured by your love of this stock.  My scenarios are exactly what

[monty613]

1. how on earth would they make profits selling at $3.50? $94MM of the purchase via share consideration was at a deemed price of $9.80 per share. the breakdown of the transaction consideration, including the # of shares issued to the MyHealth vendors, is public. go look. 2. MyHealth took share consideration knowing the growth scenario is a longer hold than 3. MyHealth did not and does not have

[jdsd0517]

That's kinda the point and we are debating! 

[bandit69]

How do you know that the previous owners didn't make out like bandits with just the cash? what did they have in to these stellar companies that WELL bought with their superior capital allocation skills (who also did a buyback a month before they diluted again)? Lol.  and the shares would be a bonus at any price they sell at?  

[CorruptedLushDr]

PREFACE: in no way, shape, or form am I about to suggest that WELL will one day ever be anywhere near Standard Oil It is worth considering that JD Rockefeller was very fond of offering shares of Standard Oil rather than cash to those he acquired. Often within a market that was far more wild, violent, volatile, fractured, and unpredictable than anything we are witnessing today. At any rate, of

[jdsd0517]

For every Standard Oil, you can tell 1000 of this story: PREFACE: in no way, shape, or form am I about to suggest that WELL will one day ever be anywhere near HIRE It is worth considering that Simon Dealy was very fond of offering shares of HIRE rather than cash to those he acquired. Often within a market that was far more wild, violent, volatile, fractured, and unpredictable than anything we

[LarryBird]

HIRE is a perfect example of why Growth by acquisition does not always work. It has been an absolute disaster for shareholders. If we want to be specific to WELL, can someone tell me why CRH is supposed to be such an amazing stock but the market never saw that potential in it before WELL bought it ? Also what happened to CRH and MyHealth providing cashflow for tuck-in acquisitions and the constant

[monty613]

not sure what you mean by the market never seeing the potential. CRH went from a penny stock to $12 before being crushed because CMS/Insurer reimbursements were slashed. the margins in the business are still high but they were extraordinaly high before this. the stock was not loved because in the aftermath of the reimbursement cuts the company's Revenue/Case was not stable. they are

[LarryBird]

my point with regards to CRH was that WELL didnt buy it when it was a hot stock. WELL bought it at a 50% premium when it was sitting pretty much at a very low stock price for some time. So either CEO saw something that no one else in the entire market saw ( in terms of potential ) or it was a typical backfill as WELL was trading at almost 1 Billion MC with 20 Million revenue and zero profits

[jdsd0517]

...and the CEO of WELL is involved with HIRE...it's the same playbook in a different industry...

[bandit69]

I'll be surprised if they don't become insolvent.

[LarryBird]

Your point makes me wonder ; if WELL's CEO has been intimately involved with HIRE and basically had oversight on HIRE's business activities... what makes us think that WELL is not going to have the same faith?  I won't even name the other company that same CEO is involved in and has done even worse than HIRE but can someone explain to me why HIRE ( growth by acquisition) has

[brandinvestor]

HIRE has a revenue of 27 million making it not even a drop in the bucket in it's industry.    WELL is the largest private clinic owner in Canada with guarenteed client base (name a Canadian who isn't looking for a doctor). They have income in EMR software, which doctor's are required to use.  They have Revenue upwards of a half billion, which in the Candian Health

[monty613]

the posters who continually reference HIRE are doing so because they are saying if Hamed is involved there, and it failed, WELL must also fail. or they call WELL a fraud. Li Ka-Shing lost his shirt on Husky, but he also had far more home runs than that investment. WELL never should have garnered the multiples it did. multiples of Revenues is also a dumb metric. but Circle/WISP should be

[brandinvestor]

I agree Monty, they are trying to say that Hamed had any say in HIRE, he's not their CEO, it isn't his fault if that company isn't doing well, just like BBTV, and all the other companies he consults with. I'm sure he spends less then 1-2 hours a month consulting with these CEOs.  Hamed's focus is WELL and to try to say that growing WELL from pennies to dollars in a few