RE: Look folks - and heregoes...Rick/Gil
posted on
Jul 15, 2005 08:03AM
100M shares, a 33% interest, seats on the board, and sufficient influence (control) to assure EDIG efforts in IFE/travel entertainment are directed solely to them. This, with the added bonus being assurance that EDIG will be around to support their endeavors (engineering support). And, having 100M shares, the likely prospect of gaining a significant return on their investment by way of EDIG PPS appreciation that would result from the business that they throw EDIG`s way (which they totally control), and only EDIG`s way (since they would have a vested interest).
To me, this scenario looks like a win-win for everybody (and the thought of it is much easier for me to swallow than possible alternatives).
I haven`t thoroughly thought through (now there`s three awfully similar looking words in a row!) how this would affect us, the retail shareholders. But I have to think that this scenario is a lot better than possible alternatives.
Viability of this conjecture? Maybe weak.... But, at present, looking at those 100M shares with the thought of an equity investment, looking at Wencor`s penchant for buying up control, and thinking of who in the world would have more to gain from such a move than Wencor, the scenario is at least as viable as any other. But it could certainly be some other entity wanting a big piece of the EDIG pie (I just can`t imagine who).
But what if it`s not about offering an equity investment? See the first post in the recent ``Accumulation Theory`` thread. ``Poison Pill`` posturing, ``Share Treasury`` as an assurance to a prospective big customer that EDIG will be around for a long while, leverage for better terms financing of up-front costs for a huge (non-IFE) order; any of these could be the roots of this company request.
But I KNOW nuttin`!
SGE