I say by the end of the year...
By November this year
2 years
2 anos
never
3years
Tyler Savery
Satellite Standard Founder
ahhh, but you voted 2 years?
Tyler Savery
Satellite Standard Founder
No Relmor,For IRS purposes liberty deal sets off first change of owner ship which caused a 20% drop in NOL..any other change in next 3 years means loss of all,including Liberty selling shares...any company buying Sirixm in next 3 years takes a 38% premium hit on every dollar of profit taken,loss of 6 bil in NOL equals 2.2 bil loss to uncle sam...
Tyler Savery
Satellite Standard Founder
So Tyler, based on all the filings now, it seems at least for me(remember I understand only around 60 percent of the deal) I can see a direction, intent and a path.
What do you think Liberty will end up doing in 2 years? 3 years from now?
Do you feel they will stop at 50 percent, go to a full 100 percent? Or simply stay at 40 percent, or somewhere in between?
I believe they will stop at 50 percent. Malone seems to always want the option of dilution, and having stock from common in his companies. He doesnt have a history of going private. Based on a larger generator, DirectTV, he never went past 50 percent and now he only controls 28 percent.
IMO Liberty will take advantage of the losses during the next two or three years. The company is expected to be profitable by then. If the company looks to be hugely profitable, they will increase their stake. If the company not as profitable, they could become like a shark.
If Liberty wanted, they could hedge their position (short), in effect driving down the price of the stock. This would make a takeover less expensive for Liberty if they decide to do so.
Liberty has every reason to keep Sirius XM afloat, yet also has a strong reason to ensure that the PPS stays within reasonable ranges. Only time will tell as to what they do, and a lot depends on how much a success Sirius XM can make themselves before Liberty's hand are untied.
I am not saying Liberty will be a shark, but the potential is there, and investors need to be aware of this. Yes, John Malone rescued the company, but in doing so, made sure that the company would have its hands tied, to a certain extent, as well.
Tyler Savery
Satellite Standard Founder