Seeking Alpha
  • Chris DeMuth Jr.
    Crown Media ($CRWN) Investment Thesis: http://bit.ly/13TscrC
    8/12/13
    Reply (6)
    • byslkwd: Do you still think it's attractive despite the 50% run up since the article was written?
      8/12/13
    • Chris DeMuth Jr.: Yes, I think it is worth about $4 in a deal. I think that a deal is at least 75% likely in 2013. It is worth at least $2 as a standalone.
      8/12/13
    • byslkwd: So if I understand you correctly, we weight the outcomes as follows: (.75*4)+(.25*2)=expected value of 3.50/share.
      8/12/13
    • Chris DeMuth Jr.: Yes. Slightly less due to the time value of money, but thereabout.
      8/12/13
    • Miguel Marecos: Chris, due to legislation aren't NOL's harder to use if there is 50% change in ownership? Don't know if it applicable in this case
      8/13/13
    • Chris DeMuth Jr.: That is a good question. Tax law is complicated and I always end up having to use lawyers. I believe that a strategic buyer can use them.
      8/13/13