http://shortsqueeze.com/?symbol=edig
Based on above, which is not 100% accurate, but updated monthly...
284,834,758 outstanding @ $7 per = $1,988,584,000....if my calculator did not fail me!
A little over a year ago, when Sandisk was trading for about $17, and Samsung offered $26 per, the approximate buyout came to $6 Bln, and was rejected as under valued.
SNDK had a 7 year deal in place at the time licensing their tech for $350 Mln/yr and the deal was to expire the end of July-09. With the offer rejected just prior to our last SHM, Samsung/Sandisk eventually renewed a 2nd 7 year license agreement starting in Aug-09 for $175 Mln/yr. Over 14 years, this is $1.225 Bln.
Many have posted calculations to determine a PPS that EDIG is worth, and I have stated the above facts a few times previously.
How much money can Samsung make over 14 years having these SNDK licenses in place? Well, it sure as heck better be more than $1.225 Bln...eh?
With our patents lasting to 2014 - 2016, depending on which ones expire between these 2 dates, and the encryption patent pending filed about 2 years ago, per RP to my face on 9/17/09, in which it is normally about 3 years for a patent to be approved...round numbers, if Samsung paid $2 Bln to OWN OUR PATENTS, and a good possiblity the encryption patent is approved, how much money could Samsung recover over many years to come for a mere chump change value of $2 Bln??
I'll call this my "$7.00 QUESTION."
I agree that $21/share is not at all realistic, but IMO, $7 is.
Oct 19th is now 10 business days away, for Samsung to wrap up "OBLIGATIONS."
The AST deal in 2005 had "obligations"....here's that darn word again....and the 6 settlements to date, based on Pacer filings, had no "obligations" to be met prior to the settlement announcements.
So, what the heck is an obligation anyway?
I'll stick my neck out, one more time, and I admit it is a hope, a dream, a "feeling" and even border line hype, so here it goes....speculation etc, and simply summerized.
- Between Oct 19th and the 26th, Samsung makes a tender offer of $7/share.
- The BOD are then required to send out proxy vote notices, with a deadline, lets say Nov 18th, and the SHM is scheduled on that day...Wed before Thanksgiving week, and I have posted this guess for the meeting previously.
- As the SHM begins and is called to order, it then is everyones last chance to vote ya or na who have not sent in proxy votes.
- With all votes now collected, RP announces the vote to accept Samsung's tender offer has passed.
- The champagne corks begin to fly, we all get crazy, and a few of the weak at heart, simply pass out.
Will this happen? It might.
Could this happen? It could.
Do you want this to happen? I would think so.
Why $7/share you say? If it happens as laid out above, I will have a peice of paper in my pocket to show you why. This is me, and me alone. I have no information, other than what I feel is a very logical senario, and based on something I cannot explain at this time, but my thoughts are just that.
OK...bring on the jokes, accuse me of koolaid or something, or that weed stuff, of which none will be the case, and if I end up to be right, or even close, I will share my "vision."
Does anyone ever make a decision based on instinct? Does anyone ever have a thought and that thought becomes a reality?
I'll stop here...DISCHINO.
GLTA!!!
