View Single Post
  #54 (permalink)  
Old 05-21-2003, 07:57 PM
DanElam's Avatar
DanElam DanElam is offline
CC Member
Visit my Photo Gallery

 
Join Date: Nov 2001
Location: Richmond, VA,
Posts: 177
Send a message via ICQ to DanElam Send a message via AIM to DanElam
Not Ranked     
Default

Quote:
Originally posted by REAL 1
By the way. Where is the proof and numbers that SAI is not doing good sales wise. Is this just another rumor?

Oh, enough with the rumors. Others have claimed to hear it directly from the Smiths. Well, why haven't the Smiths come on and told us about their new acquisition. Its public now. SAI posted here and said it ain't true.

Well, where are the Smith brothers? They supposedly have told others according to what some have said here. Let them say its true here. They've posted here before. Whats the problem?
A couple quick notes: In Autoweek Shelby has blasted Venture for not managing SAI correctly. We can't confirm it, but if SAI was throwing off plenty of cash, presumably he wouldn't be blasting them.

As for the Smith's not saying anything that is to be expected in M&A efforts. In some ways, particularly if they are doing a deal. Most due diligence efforts require a 'quiet period' where parties are not allowed to discuss anything until the deal is decided. Perhaps most telling, FFR hasn't said anything to deny it. If they weren't in due diligence, they would be free to deny it. Since they haven't, you would have to assume that either they are in due diligence or using the rumors as a feeler for a potential transaction. If it is the latter, then they don't have very good M&A representation since there are better ways to do this.

When you take everything into consideration, my guess would be that FFR and/or the Smiths are buying Venture which would give them effective control over SAI for the least amount of money. Since it seems to me that most of the value is goodwill in any potential transaction, my guess is that Shelby would have to get some form of compensation. I can't imagine that just getting the rights to use 'Cobra' are worth that much money if Shelby still got to go around and blast you.
__________________
Reply With Quote