BlueFreeway Sells and Buys
Oh Christmas eve BlueFreeway investors got a nice present when then found out BlueFreeway has bought the remain shares in Mass Media and sold their stake in Deepend.
What I found interesting was they sold back their 50.1% share of Deepend and then told everyone "while giving BlueFreeway 50.1% equity, actually did not provide us with management control"
I wonder how many other deals like this they did? Why buy 50.1% and not have management control? Why not just buy 50% or 49%? Oh the 50.1% implies you control it without doing so. I'll have to remember that.
With BLU sitting on 4c and HYO on 2c, 2009 will either spell the end two these two listed companies or it could be the year they were looking for. The credit crunch and economic downturn doesn't bode well for companies looking for a hot cash flow injection but it could also mean they actually try and turn a real profit. I hope they either both start kicking some ass or just die already as this prolonged death curdle has gotten old.
Full Disclosure: I used to work for Hyro from 2000-2002 in the previous incarnation of the company (before they were sold to Ferrier Babcock in 2000 under receivership) owed me $10,000 which went unpaid as I (among others) was an unsecured creditor. I did get to keep my job though.
I am also not a financial advisor nor do I own shares in either company. We only have 5c coins here in Australia. The 1c and 2c went out long ago ;)
Posted by Ashley Ringrose at 10:09 AM | Link to this Article | Comments
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