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  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    http://1.usa.gov/1kA0lEa
    Apr 16 06:40 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    I view this as highly unlikely. I strongly believe the vote will move forward this month, as planned
    Apr 12 11:51 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Thats my understanding.

    I have added to my position on friday, which raised my average cost basis. I added specifically because IR will be increasing its level of investor engagement and disclosures.

    I view this as a meaningful catalyst, as per the original writeup
    Apr 12 11:49 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Im not sure what you are referring to. The SEC trial?

    The case history is there. Im not sure how much more one could ask for.

    Obviously there are no assurances in life, but it seems like a pretty decent bet that this will get resolved.
    Apr 11 06:58 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Just a quick update after talking to IR (and I recommend you all contact their IR director; he is very open & responsive).

    • Highly confident that SEC trial will work out in their favor. Wishes the trial was tomorrow; but unfortunately the judge has 2 more trials before theirs, then has a scheduled vacation. It is possible that one of the other 2 trials may be settled/dismissed/reso... then their trial could be accelerated from November. They are confident that they will win because they had 3 different class action lawsuits that brought substantially similar allegations, all of which were dismissed. In the 3rd of these trials, heard in Miami, the judge dismissed it as frivolous and awarded BFCF/BBX compensation for fees/expenses. Despite all this, it is probably most accurate to assume we will wait til November for a resolution.

    • Merger will not close until the trial is heard, most likely. The previous merger with Bluegreen (BXG) closed despite the outstanding litigation because BBX was already uplisted to the NYSE, whereas BFCF was not. BFCF acquired its shares of BXG in the open market, while BBX acquired its shares through a tender offer. The tender offer was contingent upon the acquirer being NYSE listed – and BBX met that requirement.

    • Views recent confectionary acquisitions as a distraction; the real value is in the RE, BXG, and NOLs. The acquisitions were relatively small, at low multiples. Despite being distractions, the general idea was to combine two confectionary companies with complementary business models. Hoffman’s is a retail model in FL, while Williams & Bennett is a manufacturer if fine chocolates that are distributed through 3rd party retail sites.

    • As previously discussed, they sold BankAtlantic because the OCC was criticizing their assets based on diminished collateral value on paper. Selling BankAtlantic allowed them to realize fair value for their bank assets, and retain their criticized assets that they believed were money-good (as opposed to forced-sale of the loans below par). They are now able to pursue collection on distressed assets, often resulting in real estate foreclosure and cash payments (see Catalfumo settlement). They have several fantastic real estate properties that they hope to monetize over the coming years. Their strategy will be to JV with developers, contribute the land to the JV, and then monetize it in the most efficient way possible after their JV partner develops it. We will hear more info about JV deal in the coming months; IR will announce them as they are finalized.

    • IR has a few other surprises for investors over the coming weeks/months. They are currently in the process of drafting a memo to investors on where they think the value is in their companies and formally outline their plan for realizing the value of the assets. We should see the finalized version in the next 2-3weeks.

    • IR has also pledged to restart their quarterly press releases this year, likely in 1q. They will attempt to slice the company up into pieces and provide relevant data by subsidiary in a concise format. They will also do the math for us, and divide the operating performance attributable to capital stock owned by BBX and BFCF separately.
    Apr 11 06:11 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Also, as a reminder, this article will be subject to SA's embargo sometime this week. Make sure you save it if you would like to refer back to it someday, because you will no longer have access to it at some point in the next few days.

    However, if you have already posted in the comment section, you will maintain perpetual access to the updated comment section of the article. If you havent posted a comment, I think you will lose access to both the comments & the article.
    Apr 3 10:21 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Its quite interesting to watch the price of BBX drop while BFCF remains unchanged. I think the M&A arbitrage guys are losing faith in the deal being consummated at the previously established exchange rate.

    The 5.39x share-for-share exchange rate is no longer reflected in the price of the shares.
    Apr 3 09:59 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    I dont think there are any shares for sale anymore at the current price. Volumes are terrible, b/a spread is huge, and everytime a significant purchase is made we are seeing a 5-10c upswing in price.
    Apr 2 11:34 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    I agree completely. Bluegreen (BXG) seems to be a fantastic generator of cash. This is partially covered in the article I wrote, but yes - BXG is a great asset that is obfuscated by the organizational sturcture and capital structures of BFCF and BBX.

    Again, the whole thesis of this article was that Bluegreen (by itself) is worth significantly more per share than where BFCF trades today. Once you add their share of the other assets in the BFCF/BBX complex, its not even close to being priced correctly in the market.

    Since then, I have become convinced that the real estate assets have been undermarked. This would imply that there is material upside to the analysis that I originally provided, because all of my numbers were based on book values reported by mgmt.
    Mar 28 10:06 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Your link was cut off. You should try using a site like bitly.com to shorten links.
    Mar 27 02:15 PM | 1 Like Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    I have been reading it, and I am convinced you are correct. I will likely try to contact him at some point in the near future to try to distill it down to a few easy-to-understand bulletpoints that seeakingalpha readers can digest.
    Mar 27 01:57 PM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    However, Im not sure how much more I can/will write about the operating results (aside from what you see bulleted in the comments above). It was obviously a good quarter, and a great year.

    If I put up a new article, it will probably focus on just the mismarked real estate assets and updates on catalyst/event calendar.
    Mar 27 10:31 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    I contacted SA already to see if they would be willing to leave this article open to the public for longer than initially allowed (only viewable for 1month).

    Depending on their response I will either do something in the comments here, or I will put up a new article after the April vote (and after the merger closes, if they move forward with it after the vote).
    Mar 27 10:28 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Voted my shares today as well!
    Mar 27 09:55 AM | Likes Like |Link to Comment
  • BFC Financial: A Massively Undervalued Catalyst-Driven Equity [View article]
    Dont forget INFU! Eveything else in my portfolio was down, though :(
    Mar 26 06:35 PM | Likes Like |Link to Comment
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130 Comments
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