Andrew Walker's Investing With An Edge Series
Investing With An Edge: Edgewater
- Edgewater is under pressure from activists to sell.
- The activist team is working with a strategic acquirer to buy the company.
- Performance under current management has been lackluster, but there is significant upside from improvements in utilization and margins.
Investing With An Edge: Special Diversified Opportunities
- Special Diversified Opportunities is a cash shell looking for a merger.
- It trades below its net cash value. In addition, it has significant NOLs that are not held on the balance sheet.
- Its majority shareholder just sold all of its shares. The new controlling shareholder is likely to look for a near-term acquisition to realize value.
Investing With An Edge: Liberty Media
- Liberty Media trades at a discount to the sum of its parts.
- The vast majority of its parts are publicly traded and thus hedge-able.
- Investors have the opportunity to invest in a world-class capital allocator at a discount.
Investing With An Edge: Capital Southwest
- Capital Southwest is a recent spin-off with interesting dynamics.
- It's a BDC with no dividend and no natural buyers.
- Shares trade at a discount to NAV, and NAV is likely understated.