Venture filing for bankruptcy

sambrozy · #1 (**permalink**) 04-14-2003, 12:18 PM

The new Autoweek has an article regarding Venture filing for bankruptcy. Venture owns 75% of Carroll Shelby in Vegas. The article stated that Carroll wants to purchase back their 75%interest.

.

sambrozy · #2 (**permalink**) 04-21-2003, 11:46 AM

Update...
The last issue of Autoweek indicates Shelby will have another builder for his Cobras. The story continues....

KeithBrown · #3 (**permalink**) 04-21-2003, 11:52 AM

Sambrozy,

Teasing us?? Could you be referring to a certain South African manufacturere (CAV, per chance)??

Regards,

Keith

sambrozy · #4 (**permalink**) 04-21-2003, 12:10 PM

Well.....It should be interesting....very interesting. Wouldn't it be interesting to have a CSX roller priced at 45K. With all the manufacturers out there only a few will survive.

We'll have to tune in next week.

Stan

Jamo · #5 (**permalink**) 04-21-2003, 12:16 PM

Thanks--sounds like you're right on top of things.

coyled · #6 (**permalink**) 04-21-2003, 12:40 PM

Venture is just a shareholder. I would bet that the controll of the company was and is legally controlled by CS before venture ever became the majority shareholder. In bankruptcy, the creditors of venture would own the stock and have the same say so over the company, which is probably nothing. Basically, a non controll shareholder in a private company has no rights. Scott

sambrozy · #7 (**permalink**) 04-21-2003, 01:02 PM

The Autoweek article had Venture owning 75% and Shelby 25%. Shelby wants to buy back the 75%. Venture owned. Shelby per Autoweek said he never received any monies from Venture.

It seems that Shelby would be better off having an manufacturer build a car for him to attach a CSX number and his name.

We'll have to wait and see how this works out.

Stan

Dan Stryffeler · #8 (**permalink**) 04-21-2003, 01:25 PM

It will be interesting to see how it plays out... But I can't see that a company would own 75% of something and not hold any operational control, i.e. that they have non-voting stock.

My guess, and it's only a guess, is that they could replace the board and management at any time, (by majority vote), but to sell the operation or shut it down would require a unanimous vote.

But the real value of SAI is Mr. Shelby and his endorsement of the product, without that... what do they really have; a car that cannot legally be called a Shelby Cobra. I guess there is the Series I to consider, but....

- Dan