The “shell” company is listed on the OTC market (expert market). It is no longer in business, but at a price of 0.30x cash. With an option on a long-term investment that can represent +10x MC
What's interesting is that this transaction was agreed upon in September, so when Fansunite was already an empty shell. Also on LinkedIn Tekkorp is saying as of a month ago: "Following our initial investment in FansUnite we are pleased to continue our support" ( https://www.linkedin.com/feed/update/urn:li:activity:7279972287565414401/ ) . I'm sure they have some plans here. I don't think they want to liquidate the stub, I'm thinking more along the lines of them trying to bring public another company using this shell, or something like that.
The disappointing thing is the price they agreed upon: $0.0014 / share. You never know, but I doubt the company co-founders would sell their ~20% stake in their company for ~$100k in september 2024 if that stake was worth $1m+ as per your bull case.
Can you discuss more about reviewing the daily filings? Are there specific sites that list the news releases for each of those markets? Or do you subscribe (email/rss?) and bring them into another program? And then do you just read every headline? Skip over areas of market you aren't potentially interested in (banks? crypto? which there are a lot of in these markets). What % of headlines do you think you click through and actually read? Curious more about the actual process..
Interesting post, thanks! I think the Tekkorp angle deserves a better look. As per this press release ( https://www.newsfilecorp.com/release/235701/Early-Warning-Report-Regarding-Tekkorp-Holdings-LLC ) Tekkorp bought their shares from 'certain shareholders of the company'. I believe those are the company co-founders, Maw and Jakary. The number of shares transacted (63.x million shares) adds up to exactly the number of shares held by Maw and Jakary as per the special meeting proxy (https://fansunite.com/wp-content/uploads/2024/07/Project-Bravo-Special-Meeting-Circular-Final.pdf, page 54). So I think your ownership numbers are outdated.
What's interesting is that this transaction was agreed upon in September, so when Fansunite was already an empty shell. Also on LinkedIn Tekkorp is saying as of a month ago: "Following our initial investment in FansUnite we are pleased to continue our support" ( https://www.linkedin.com/feed/update/urn:li:activity:7279972287565414401/ ) . I'm sure they have some plans here. I don't think they want to liquidate the stub, I'm thinking more along the lines of them trying to bring public another company using this shell, or something like that.
The disappointing thing is the price they agreed upon: $0.0014 / share. You never know, but I doubt the company co-founders would sell their ~20% stake in their company for ~$100k in september 2024 if that stake was worth $1m+ as per your bull case.
Nice found, Thanks
Nice call!
Can you discuss more about reviewing the daily filings? Are there specific sites that list the news releases for each of those markets? Or do you subscribe (email/rss?) and bring them into another program? And then do you just read every headline? Skip over areas of market you aren't potentially interested in (banks? crypto? which there are a lot of in these markets). What % of headlines do you think you click through and actually read? Curious more about the actual process..
There are several solutions, but for my part I use several different services. I'll list some:
- https://www.newswire.ca/news-releases/all-public-company-news/
- https://www.accessnewswire.com
- On Koyfin I can create Canadian micro-cap watchlist (500+ stocks) then I can open news tabs from this list
- https://capedge.com are very good service for US stock. (I use only for my US watchlist)
- Sedarplus with some mail notification
Yes, I skip several news such as crypto, Bigcap, Bank.... I actually read less than 10% of the press releases I watch.