Author Topic: PDH - Premier Diversified Holdings Inc.  (Read 334840 times)

Jurgis

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #840 on: February 05, 2019, 01:59:41 PM »
I dont know what you guys expect here. This is really the only option a company like this has.

Dilution is expected -- I guess I wasn't expecting a 20% dilution :(

And this only gains $750,000. Yeah, I know it's $750,000, not $75,000. But still - will it make (a/any/much) difference?
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ourkid8

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #841 on: February 05, 2019, 03:00:39 PM »
Sanjeev maybe loading up for an acquisition which is cash flow positive!

I dont know what you guys expect here. This is really the only option a company like this has.

Dilution is expected -- I guess I wasn't expecting a 20% dilution :(

And this only gains $750,000. Yeah, I know it's $750,000, not $75,000. But still - will it make (a/any/much) difference?

Spekulatius

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #842 on: February 05, 2019, 03:37:33 PM »
750k covers the burn rate for a bit more than a year. They have got to keep the lights on.
To be a realist, one has to believe in miracles.

OracleofCarolina

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #843 on: February 05, 2019, 03:55:03 PM »
Maybe PDH could do a rights offering to raise more capital? Not sure if that is even allowed for this type of listing though

TwoCitiesCapital

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #844 on: February 05, 2019, 07:15:36 PM »
+warrant

This is a pretty big dilution -- 30M share if the warrants are exercised, around 20% dilution.

This. Saying someone has confidence at 0.05 isn't true - someone has confidence that they can spend 0.05/share and get a lottery ticker in the event it works.

Gregmal

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #845 on: February 05, 2019, 07:47:38 PM »
Sanjeev man, shut it down and start over. You have to know the saying of a good manager and a bad business......

Despite being a flaming liberal I think you're gifted, honest, and can do much better if you get a clean slate and fresh start. This dog has rabies and needs to be put down...

shalab

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Re: PDH - Premier Diversified Holdings Inc.
« Reply #846 on: February 09, 2019, 09:35:13 AM »
I don't think all the dynamics are obvious or in the public domain. At this point, the fund is majority owned by the operators and FRFHF. I also have a feeling that the private placement at 5 cents/share is mostly to the fund.

The 2016 MPIC letter (available in their website) gives some insight. There have been no updates since. On Jan 1st, 2017, the price of PDH was still at 0.13 cents (CAD). The CAD $ drop against USD was already over by that time.


In  2014,  our  strategy  changed  significantly  due  to our  investment  in  Premier  Diversified  Holdings  Inc.(formerly Premier Diagnostics Health Services), much to the chagrin of some partners.  And rightfully so, when viewed in terms of  the effect  on our  short-term performance.    But the reason we  changed our strategy was to benefit the long-term partners in MPIC Fund I, LP, including the general partner!

...

We knew we had to do three things:
1.Grow non-PDH assets dramatically. 2.Bring in additional capital to reduce PDH’s size of assets under management. 3.Stabilize and grow PDH. #1 was achieved in 2016 with us investing approximately $5.76M into non-PDH investments and returning approximately $8.16M for a gain of a little better than 41%. #2 was achieved in early 2017 with a $5M investment by two subsidiaries of Fairfax Financial. With the success of the first two items, and a drop in PDH’s price in 2016, PDH now makes up less than29% of fund assets...below the original maximum threshold we wanted. #3 is at hand:


They had 11.5 million in AUM by end of 2016. 1.4 million is owned by the general partner and I guess FRFHF owns at least 5 million, may be more.



Sanjeev man, shut it down and start over. You have to know the saying of a good manager and a bad business......

Despite being a flaming liberal I think you're gifted, honest, and can do much better if you get a clean slate and fresh start. This dog has rabies and needs to be put down...