Liberty won't be converting his preferred anytime soon; it will not be before Sirius is ever profitable -- and certainly not before the reverse split that is very much needed now.
The Preferred rank ahead of the Common in the event of default... and since Sirius is not paying dividends, there is no reason to convert them anytime soon. They also have no expiration or maturity date.
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Agreed. I have said this all alone. The preffered shares actually "tie up common" that will never be diluted anytime soon. Good for the float. This deal is good for the float, good for removing BK, and good for investors. Synergies, good partnership, and a working relationship are what we can look forward too now. Its not as good a deal as Ergen's but its better than BK, and we were shoved into this deal anyway, so we had no choice. I think 500 million cash for Ergen with similar stock awards is still a much better deal. But Mel wanted Malone, and thats that.Originally Posted by homer985
However Homer, dont be surprised if Malone has already accumulated 9% common on the open market at these prices, for the day he will be allowed to have "over 50%" control. That would be I believe in 3 years from now. NO he will not convert until they are profitable, or the sp is much higher than here. Good day today.
Up +10.77% yes. yes.
Not a guess -- its my personal experience with these stocks from the last 8 years. My facts are my experiences. While I don't expect you or anyone to trust my expirences in such cases, I trust them and have no problem sharing my opinion of them.
So no, I will not agree to a compromise of opinion, in this case.
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sorry...but i've got conditioned everytime something good appears something bad is lurking in the shadows and pulls me back down....
Amen man!!! I can sleep this weekend what a relief!!!
What was Ergen's "deal" or "offer"? Thanks in advance... I haven't seen it.
Any purchase of 5% or more of the outstanding shares of Sirius would require Liberty to file a Schedule 13D report with the SEC -- within 10 days of surpassing the 5% mark.
ADENDUM: Once Liberty takes control of the Preferred shares -- they will need to file a SC-13D anyhow... so you'll know what their ownership is soon. Any changes to these holdings in the future will need to be reported within 10 days... as well as annually.
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Last edited by homer985; 03-06-2009 at 02:48 PM.
Thats the point, it was never allowed for us to be seen. It was reported that it was a cash infusion of 500 million, and all debt he owned extended or reworked. The only thing was he wanted control of the company, as Malone is getting. Since the law prevents ownership change at this time. Ergen could get no more control than Malone. Ergen was offering cash, Malone loans. Ergen was the better deal "according to the only sources we had". I still feel Ergen is the "less evil man" of the two. Come on Homer, there are ways around that filing. You of all people should know that. He can buy 4% now, and have a buddy buy 4%, etc... Not hard. If he has any intention of future control, you can bet hes going to buy shares here ,than later.
Irrelevant. Once Liberty takes possession of the Preferred shares, they will be required to file a SC-13D. His entire ownership stake in Sirius will be revealed soon.
BTW, I don't know that Ergen had a "better deal"... I don't trust what I read in the media -- I work in the media. Biggest mistake you can make is trusting what somebody's else source is claiming.
So unless someone can actually source the deal with what it contained -- it doesn't exist in my world.
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It will show up in the Annual reports....Based on Timing!
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