tag:blogger.com,1999:blog-2080506270244832638.post7353622960997897028..comments2024-03-28T07:17:13.573-05:00Comments on Clark Street Value: BBX Capital: New BBXIA, Form 10 NotesMDChttp://www.blogger.com/profile/10679835609782815537noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-2080506270244832638.post-59594497346301754482021-06-24T09:03:12.312-05:002021-06-24T09:03:12.312-05:00Only 34000 shares were tendered at $6.75 and I'...Only 34000 shares were tendered at $6.75 and I'm going to venture to say that not much more will be at $8. Further, they would have more success if investors weren't dealing with short term cap gains. <br /><br />If they offer $12 in 2022, we'll take it.SaltShakerhttps://www.blogger.com/profile/01420459229857722255noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-23790604842117869772021-06-24T08:52:56.929-05:002021-06-24T08:52:56.929-05:00Thanks, I am sticking around as well. I don't ...Thanks, I am sticking around as well. I don't see them garnering much value from being public so I assume this will effectively go private in pieces. That said, the more they enrich themselves in the mean time, the less left for us.<br /><br />Also the biz itself, while clearly undervalued, doesn't lend itself to being a public equity. Anonymoushttps://www.blogger.com/profile/03439832455628118466noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-84681374886598621802021-06-24T08:17:02.372-05:002021-06-24T08:17:02.372-05:00I am still in this one, I've realized a number...I am still in this one, I've realized a number of gains this year (good problem to have!) so not in a hurry to sell it. The situation reminds me a bit of DVMT, the company is using its bad reputation in the market to transfer value from minority public shareholders to insiders. There's this reflexive dynamic where the greater the discount the more likely the Levans will try to abuse shareholders to their benefit. I also kind of draw on the TPCA experience here, controlled OTC company, did a big tender offer, if you didn't participate, risked being stuck in an even more illiquid stock. As soon as the tender was completed, stock shot up even more.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-6655851815763284402021-06-24T06:25:41.376-05:002021-06-24T06:25:41.376-05:00Hi MDC, are you still around this one? Management ...Hi MDC, are you still around this one? Management has tendered for shares @$6.75 and now raised the offer to $8. Still well below book value. Book value may not be the absolute best metric as the Levan's will continue enriching themselves, but offer still seems too cheap to me.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-41142479092252416992020-11-24T21:15:02.389-06:002020-11-24T21:15:02.389-06:00Yes - the spin was taxable to the parent company&#...Yes - the spin was taxable to the parent company's shareholders, similar to a dividend, not that many investors would have significant gains in BBX. But I think more importantly, it removes the two year safe harbor for BBXIA, for example management can buyout the company or do another transaction without jeopardizing a tax-free spin because this isn't one.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-90685871149592852502020-11-24T16:58:14.704-06:002020-11-24T16:58:14.704-06:00Hi. I have a doubt. Spin-off will be a taxable tra...Hi. I have a doubt. Spin-off will be a taxable transaction to the Company’s shareholders ?Lucashttps://www.blogger.com/profile/01889778565606495089noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-56448970059817088372020-10-23T09:56:53.106-05:002020-10-23T09:56:53.106-05:00Good point and if so kudos to Mgmt for the plan, a...Good point and if so kudos to Mgmt for the plan, also possible they are reducing shares outstanding and then going to sell off assets to potentially juice EPS and hit some bonus/comp #s.<br /><br />The below that I found in the spin off filings supports both our points; from Page 44 https://www.sec.gov/Archives/edgar/data/1814974/000119312520171471/d918088dex991.htm:<br /> <br />Utilizing the reduced disclosure requirements applicable to New BBX Capital may make New BBX Capital’s common stock less attractive to investors.<br /><br />New BBX Capital qualifies as an “emerging growth company” and is therefore eligible to utilize certain reduced reporting and other requirements that are otherwise applicable generally to public companies. Pursuant to these reduced disclosure requirements, New BBX Capital is not required to, among other things, provide certain disclosures regarding executive compensation, hold shareholder advisory votes on executive compensation or obtain shareholder approval of any golden parachute payments, and New BBX Capital has reduced financial disclosure obligations.MAFnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-31771890603728300552020-10-22T12:42:02.365-05:002020-10-22T12:42:02.365-05:00Yeah - I think part of the playbook here is to int...Yeah - I think part of the playbook here is to intentionally make the company cheap, buyback some shares without paying a premium to the market, then some day in the distant future opportunistically take it private.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-25516115409899190012020-10-22T11:14:47.856-05:002020-10-22T11:14:47.856-05:00Any opinion of the stock repurchase plan? Feels li...Any opinion of the stock repurchase plan? Feels like this was the plan to begin withMAFnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-72271427305969711562020-10-12T21:56:38.575-05:002020-10-12T21:56:38.575-05:00I don't think I would do a paired trade, part ...I don't think I would do a paired trade, part of the thesis would be that travel returns, timeshares generally have a kitchen, leisure travel, not relying on business convention, maybe another round of stimulus acts as a downpayment. I can construct a scenario where Bluegreen does pretty well despite the Levans.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-5818646885197669022020-10-12T16:09:13.925-05:002020-10-12T16:09:13.925-05:00Based on my math BVH is trading at a 52% discount ...Based on my math BVH is trading at a 52% discount to BXG based on the 90% ownership of BXG minus the 75 million promissory note. If you think merger is highly likely probably worth shorting shares of BXG and buying BVH and locking in 50%. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-23788289471306618512020-10-12T08:00:10.473-05:002020-10-12T08:00:10.473-05:00Thanks, I might steal this thought as a reopening ...Thanks, I might steal this thought as a reopening trade. BXG probably recovers first of the timeshares due to their more drive-to locations, mostly in the southeast where people seem to care less about covid.MDChttps://www.blogger.com/profile/10679835609782815537noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-34516587618415781012020-10-11T14:14:54.467-05:002020-10-11T14:14:54.467-05:00BBX is more favorable overall. But I'm definit...BBX is more favorable overall. But I'm definitely going to put on a small position on the Bluegreen Holding company. Because the leveraged upside is out of this world. If BXG gets back to pre-covid levels you're looking at ~300% upside at the holding company level. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-62918446368190117392020-10-07T03:23:15.023-05:002020-10-07T03:23:15.023-05:00If you can get past management’s history of blatan...If you can get past management’s history of blatant abuse of public shareholders, it’s cheap. They find ways of destroying capital at every turn.Anonymoushttps://www.blogger.com/profile/08837957136648216514noreply@blogger.comtag:blogger.com,1999:blog-2080506270244832638.post-62778094759969569762020-10-06T20:02:04.451-05:002020-10-06T20:02:04.451-05:00I agree with your assessment. The only thing I wou...I agree with your assessment. The only thing I would add is that much of the debt is non-recourse/asset specific. That should provide upside to downside liquidation value scenarios, as the debt would only have recourse to the underlying real estate liens (not the corporate entity).Anonymousnoreply@blogger.com