Sirius XM Issues 67 Million Shares
In a move that appears designed to give the company some breathing room on the $300,000,000 financing due in February of 2009, Sirius XM has issued 67 million shares of stock. The move retires about 10% of the converts that are coming due in the next 5 months.
While the dilution typically is not seen as good news, it would appear that this activity was made in an effort to perhaps facilitate a finalized solution to that part of the debt that needs to be refinanced. The company filing states:
“We issued an aggregate of 67,038,070 shares of our common stock, par value $0.001 per share, in exchange for $30,500,000 principal amount of our 2½% Convertible Notes due 2009 (the “2½% Notes”) beneficially owned by institutional holders.
We did not receive any cash proceeds as a result of the exchange of our common stock for the 2½% Notes, which notes have been retired and cancelled. We executed these transactions to reduce our debt and interest cost, increase our equity, and improve our balance sheet. We may engage in additional exchanges in respect of our outstanding indebtedness if and as favorable opportunities arise.
The issuance of the shares of our common stock was made pursuant to the exemption from the registration requirements of the Securities Act of 1933, as amended, contained in Section 3(a)(9) of such Act.”
Position – Long SIRI
As I reported last week here on SiriusBuzz, September 4, 2008 was the final appeal date regarding the merger. It was met with some skepticism to say the least. In fact, I was challenged, as was my credibility when I reported the appeal date. Now it’s my turn.
SiriusBuzz has learned that Mr. Michael Hartlieb, a long time shareholder, has in fact filed a “pro se” appeal of the merger decision. Mr. Hartlieb has named the FCC itself as the defendant, and not Sirius XM with the D.C. Court of Appeals.
An appeal of an FCC decision must challenge the FCC, and not the companies that the decision was made about. I hope to be interviewing Mr. Hartlieb on the matter, and will report further as details continue to be made public.
SiriusBuzz has created a discussion thread to keep you updated on events at SiriusBuzz.com!
source
https://siriusbuzz.com/shareholder-files-appeal-of-sirius-xm-merger.php
Demon…so what’s your point I AM NOT Mr. Hartleib
You act like a troll whore for him, Mr. Dreamer with how you acted in the very first two Comments.
DEMON
your on IGNORE…save your breath and efforts for your BLOW UP DOLL!!! BYE FOOL
WHERE’S THE ADVERTISING?????
WHERE’S THE RETAIL STORE PUSH?????
WHERE’S THE NAME BRANDING????
Siriusly in Doubt –
I’m sure they have to introduce the brand new lineup with all changes merging Sirius/XM stations so they can get a clear message out, billboards, etc to retail stores. This will likely all happen after 3qCC & before Thanksgiving.
Hey Roadkill.
Nice post. I completely agree that everyone involved should be placed under oath and made to give a deposition.
Also. I went to radio shack. Nothing. Best Buy nothing. I guess theres nothing to market. Makes you wonder what the benefits of merging were???
When your friends turn on you, like Janco has been. Not a good sign.
“We may engage in additional exchanges in respect of our outstanding indebtedness if and as favorable opportunities arise”
How was getting a value of .455 favorable ?
“WHERE’S THE ADVERTISING?????
WHERE’S THE RETAIL STORE PUSH?????
WHERE’S THE NAME BRANDING????”
Things will start happening when the retail interoperable radios hit the stores just in time for Father’s Day.
Ad slogan:
EVERY SPORT….EVERY GAME!
Thank you Tyler for getting Michael on the air so quickly. I look forward to the Thursday show.
I guess Janco sees the same inconsitent actions by mangement that many of us have seen.
What you have to ask yourself is why?
None of us have that answer and Mel is not providing an answer. Mel just wants the votes to issue as many shares of stock as he see fit, and to reverse split up to 50 to 1, as he sees fit.
Then what?? when the stock reaches .05 a share he does the 50 to 1 reverse split.Then sells the company and it goes private?
As stock holders we have to try and to protect ourselves.
Something is very wrong.
It is very obvious to Janco, and it should be to us as stockholders.
inho
vaporgold
I saw a recent ad about the GMC Arcadia : 2 year sub to Sirius!
This I feel would do wounders for Sirius, if they can get the same deal on all cars!
The comments here is like watching lord of the flies…if I can get .55 i am out…then I am going to invest is some finacial socks….there alot more stable…lol
I agree vaporgold with your statement above.
Tyler. Thank you for all your efforts and providing differing views. Much appreciated.
Hi Sal,
at .55 why not wait for more…you know you will…smile
that will help you pay for those new yankee season tickets
I’m w/you socalrunningfool. siriusroadkill’s 4:03 pm post above is on target.
I flipped over to the stock forum and read hartlieb’s posts and comments to them. I noticed (unless I missed it) that he has not posted in this thread to defend against doubt about his motive. Having participated in a couple of class actions, I can attest that participants’s time largely gets wasted. The exception was some years ago when Toshiba settled on an action driven by a bad drive in a laptop I owned. Relatively, I made out on that action–several hundred dollars, a patch for the drive, and some nice accessories. But I digress…
What a circus this has become. I didn’t even check my position today, just monitored the SP and sure enough, it drifted down again.
The trader in me says sell then short and ride the price down until triggered to cover. Hell, going from .36 to .10 would be a 72% gain versus holding out hope as a long. The long guy on my other should says hold, though. Maybe Mel will drop a surprise before the shareholder meeting (like retracting the proxy). Like other longs here, I am HIGHLY skeptical about dilution and a reverse split at any ratio, especially because as reported today EuroZone nations are heading for recession and we all know how our own economy is hurting. Globally, shorts are sharpening their knives.
I’m in the Midwest. Lots of auto industry parts makers are hurting. Layoffs mounting. I know people who have been laid off. One of my colleges’ husband took a “volunteer” layoff so a younger worker with children could keep his job a little longer. Admirable–but sucks nevertheless. Other areas and sectors and industries are struggling as well. Saying rosy things about forecasted sub growth in this environment is unwise.
Personally, I would like to take Mel out to a woodshed for the way SIRI has declined. But, I am not inside his head or company. Maybe he is trying but just running out of bullets. That is how it appears.
Remember how we all initially lit up when we thought SiriusEmployee was for real? We need some real moles. Just WTF is going on in the C suites at the company?
On this board we also need short’s pseudonyms to appear in red and long’s in blue so we really know who is on which side–understanding that any trader worth his/her weight can switch hit. Wishful thinking but would sure make baselining communications easier.
I am not going to the shareholder meeting (because I would probably stroke out due to anger), but I plan to monitor. I also remain undecided on Mel’s proxy requests. Truth is that at this point I do not trust him. He has some major work to do to regain my trust and show which side he is on–his own or shareholders. Some of the posts above and a lot covered in the stock forum today and recently makes Mel look like a foe rather than a friend–but again this is a public board and not one single poster on it is vetted or a bona fide investigative journalist of the first order. Hearing that the Wall Street Journal may be at the shareholder meeting makes me feel better, though. The plight of Sirius XM is overshadowed by the national and internation financial and economic news, and this is understandable, to an extent.
Anybody know Mel’s average on SIRI? Honestly, I would be just fine with him selling the company for a price that provides him with a modest gain based on his position. I would bail at that point as a long and never look back.
Sorry, but this is where I’m at now on this troubled stock and bizarre company management.
“colleague’s” above. Damn typos…
hope if i were to sell my 10,000 shares right now it would not cover the cost of my Yankee tickets…Do you really think it will go over .55? I am looking for someone to sell me a dream on this stock
Tyler . . .
Thanks for looking into the accounting change (just listened to “Tyler’s Take”) . . . the Henry Paulson connection is what caused my radar to go up. Sounds like there’s nothing to it.
One thing about Wienkes . . . how can he have a “Conviction Sell” rating with a “$0.50 price target” and a current share price of $0.36?
What am I missing? Shouldn’t he issue a note that either resets the price target or changes the buy/sell rating to account for the current share price?
I’d be very interested in hearing him interviewed on SiriusBuzz Radio . . .
I am going to stick my neck out guess that Mel and Frear will explain their position on the Feb converts, May term loan due and RS / share increase at the 3rd Q CC in next few weeks.
Then everyone can decide if they will vote for it on Dec 18th and you’ll get a feel for Mel and if he and the board are involved in a big conspiracy to purposely go private and wipe us all out.
I personally think it is all bull. The timing of FCC ruling dragging on and credit crisis, deep recession we’re in plus the negative NAB campaign are the reasons why Mel’s plan is not his dream plan anymore and we’re all suffering, worrying about even lower prices than .38 cents & possibly not even our shares surviving.
Some more facts…
Sirius Xm Radio Inc (SIRI) stock was recently dumped by 61 Funds!
just enter SIRI in symbol area at page top for detailed list.
SiriusHope
http://money.cnn.com/quote/maj.....?symb=SIRI
Here are the fact from Yahoo finance — net institutional gain of about 80 mil
Institutional owner activity for Sirius Xm Radio Inc
Positions Number of holders Number of shares
Total 477 1,623,496,633
New 40 49,370,852
Increased 155 283,534,526
Decreased 161 -154,456,295
Sold 63 -100,578,493
Top 15 Institutional Investors
Holder Number of shares Percent held Percent of portfolio Latest action Value Report date
OppenheimerFunds, Inc. 55,556,423 4.0 0.2 -180 $21,444,779 09-30-2006
Barclays Global Investors NA (California) 28,826,522 2.1 0.0 150,363 $11,127,037 09-30-2006
ClearBridge Advisors 28,148,760 2.0 0.1 4,234,069 $10,865,421 09-30-2006
Vanguard Group, Inc. 27,443,308 2.0 0.0 711,245 $10,593,117 09-30-2006
State Street Global Advisors 17,280,184 1.2 0.0 1,125,716 $6,670,151 09-30-2006
AllianceBernstein LP 16,201,804 1.2 0.0 15,443,544 $6,253,896 09-30-2006
TIAA-CREF Asset Management LLC 13,882,718 1.0 0.0 -829,975 $5,358,729 09-30-2006
ING Investments LLC 9,529,559 0.7 0.1 3,777,370 $3,678,410 09-30-2006
Blue Ridge Capital Holdings LLC 8,000,000 0.6 1.3 0 $3,088,000 09-30-2006
AXA Investment Managers (Paris) SA 7,028,639 0.5 0.1 2,119,490 $2,713,055 09-30-2006
BlackRock Advisors, Inc. 6,745,125 0.5 0.0 1,965,000 $2,603,618 09-30-2006
The California Public Employees Retirement System 5,207,300 0.4 0.0 -981,100 $2,010,018 09-30-2006
Morgan Stanley & Co., Inc. 5,004,994 0.4 0.0 -1,940,798 $1,931,928 09-30-2006
Northern Trust Investments 4,821,671 0.3 0.0 -144,914 $1,861,165 09-30-2006
Mellon Capital Management 4,247,271 0.3 0.0 -66,689 $1,639,447 09-30-2006
Top 15 Mutual Fund Investors
Holder Number of shares Percent held Percent of portfolio Latest action Value Report date
Rydex NASDAQ-100(R) Fund 1,241,458 0.1 0.7 -51,768 $479,203 09-30-2006
Forsta AP Fonden 489,973 0.0 0.0 9,442 $189,130 06-30-2006
SiriusHope
did you read the entire fund report
There are net of 80 mil adition
Rearrange the report by clicking on current shares. You will find those who sold had very small positions.
look at funds and institutions with multi-mil positions, many of them added or held no channge
I read the maifais report and you do have to look into the numbers deeper than adds, drops, remain the same. The net is the key.
THANKS GUYS