PDH - Premier Diversified Holdings Inc.

[benchmark]

its out on sedar

 

Seems like the SequentRe is still struggling to gain a real big customer -- does anyone in the insurance business know if this is the norm? I'm wondering if we end up buying more shares and still not gaining traction.

 

China op is a bust.

 

Rest seems to be doing fine.

[CONeal]

its out on sedar

 

Seems like the SequentRe is still struggling to gain a real big customer -- does anyone in the insurance business know if this is the norm? I'm wondering if we end up buying more shares and still not gaining traction.

 

 

Normally how anything with ecomonomies of scale works.  All the bigger players want someone else to move first to validate the product.  No one wants to stick their neck on the line for something different.  If company B is able to say company A is already using the system it validates it some in the decision making process.

[benchmark]

its out on sedar

 

Seems like the SequentRe is still struggling to gain a real big customer -- does anyone in the insurance business know if this is the norm? I'm wondering if we end up buying more shares and still not gaining traction.

 

 

 

 

Normally how anything with ecomonomies of scale works.  All the bigger players want someone else to move first to validate the product.  No one wants to stick their neck on the line for something different.  If company B is able to say company A is already using the system it validates it some in the decision making process.

 

Yes, that's fair.  It's been 2+ years for them to find that one big fish -- I'm just wondering if PDH can support this indefinitely....

[CONeal]

For the private placements that the company does to raise funds... do you have to be an accrediated investor to take place in them?  Just wondering if there was a way to buy directly from the private placements instead of messing with the thinly traded bid/ask.

 

Pretty sure I already know the answer but it just in case the answer is something other then No.

 

[rkbabang]

For the private placements that the company does to raise funds... do you have to be an accrediated investor to take place in them?  Just wondering if there was a way to buy directly from the private placements instead of messing with the thinly traded bid/ask.

 

Pretty sure I already know the answer but it just in case the answer is something other then No.

 

 

And if one is an accredited investor what is the minimum investment?  Can you invest $10K or would it have to be something much larger?

 

[Cevian]

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

[rkbabang]

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

[OracleofCarolina]

anyone heading to Vancouver next week?

[Ballinvarosig Investors]

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

[Parsad]

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

 

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

[John Hjorth]

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

 

It's a great intiative, Sanjeev! It will most likely give PDH a larger potential investor base going forward.

[redhots]

I am out of town for the annual meeting.  Can someone take notes?

[ourkid8]

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

 

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

[benchmark]

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

+1.

 

For those who participated the original rights offering at $0.18, are you still holding?

 

[ourkid8]

Unfortunately yes...  :'( :'( :'(

 

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

+1.

 

For those who participated the original rights offering at $0.18, are you still holding?

[Parsad]

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

The listing cost to move over to the TSX-V, including issuing the circular and everything is actually relatively small.  We do not need a sponsor like we would have two years ago when we first talked to them.  Cheers!

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

 

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

[Parsad]

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

+1.

 

For those who participated the original rights offering at $0.18, are you still holding?

 

Hey, we were the biggest buyers, and have you guys seen me sell a share yet?  Either you are in this for the long-haul or not.  And that's what it will take...it's a long-term investment.

 

- Berkshire Hathaway was a crappy textile company until Buffett acquired Blue Chip Stamps. 

- Markel was a run-down insurance company that needed capital before Prem borrowed everything he could to buy it. 

- Steak'n Shake was nearly bankrupt before Sardar turned it around. 

 

We were in the same boat...invested in a distressed company, that needed a bigger turnaround than we thought.  Now we have businesses that are growing and no debt.  And we will buy more...and more...and more! 

 

What I will tell you is that we are not a Sears Holding Company!  Cheers!

[fareastwarriors]

 

What I will tell you is that we are not a Sears Holding Company!  Cheers!

 

 

;D ;D ;D

[CassiusKing1]

Somebody needed 5,000 shares pretty badly today.  ???

[ourkid8]

Relatively small means additional corporate overhead which we cannot afford.  Increasing OH would mean further dilution to existing shareholders.  Does it inconvenience some, sure but that's not your issue at this time besides you have one sole focus. If you cut additional OH costs that would be a bonus so work with a 3G mentality.

 

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

The listing cost to move over to the TSX-V, including issuing the circular and everything is actually relatively small.  We do not need a sponsor like we would have two years ago when we first talked to them.  Cheers!

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

 

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

[Parsad]

Relatively small means additional corporate overhead which we cannot afford.  Increasing OH would mean further dilution to existing shareholders.  Does it inconvenience some, sure but that's not your issue at this time besides you have one sole focus. If you cut additional OH costs that would be a bonus so work with a 3G mentality.

 

Let's hope there are no additional costs to obtaining a TSX-V listing as Sanjeev's sole focus should be on becoming profitable on a net basis without incurring unnecessary costs at this time.  If there are additional costs, let's hold off for the time being as we do not want to increase the built-in costs at the corporate level. 

 

There is sufficient volume at the moment to fill orders in the $10-25k investment range.

 

The listing cost to move over to the TSX-V, including issuing the circular and everything is actually relatively small.  We do not need a sponsor like we would have two years ago when we first talked to them.  Cheers!

 

Not quite true for me.  Fidelity doesn't give me access to that small exchange (even though I can buy other canadian stocks directly) I have to buy PRDGF and I have had a hard time buying more than 10000-15000 shares at a time.  Oh yeah, and there is a $50 "Foreign Settlement Fee" which they tack on to the normal $4.95 trade fee for some reason.  That $50 fee doesn't apply to other foreign stocks I own either on the pink sheets or directly bought on the foreign exchanges that Fidelity supports.    So because of the exchange that PDH trades on it costs me $54.95US to buy 10-15K shares.  To buy 100,000 shares would cost me $500-$600US in fees.

In the same situation.

 

I hate buying the foreign US OTC listed shares. Horrible liquidity, horrible costs on entry, horrible costs on exit, often hard to even sell at times.

 

We are working hard on getting a TSX-V listing.  That will help with liquidity and virtually all U.S. brokerages will start accepting some of the certificates that are sitting in safety deposit boxes in the U.S.  Won't be long.  Cheers!

 

Are you kidding me?  Work with a 3G mentality.

 

You have a built-in burn rate from corporate overhead...that isn't going to dissipate by saving a few thousand dollars that would be spent on generating more liquidity in the stock and allowing U.S. investors to participate in a more meaningful way. 

 

There is going to be dilution until the existing businesses can generate enough free cash to cover inherent operating costs or you acquire businesses with enough existing cash flow.  If you aren't adding capital over time, it's likely you will be getting diluted until we reach that point where we are cash flow positive as an entity.  That's the reality of the existing business.  You aren't going to get enough in cost efficiencies to overcome the inherent burn rate...you need growth! 

 

Cheers!

[rohitc99]

Somebody needed 5,000 shares pretty badly today.  ???

 

or some one got mixed up between usd and canadian $

[ourkid8]

We all understand you cannot get enough cost efficiencies to offset the current burn rate however by reducing the OH further will mean less dilution until we have growth.  That's why you need to be cognizant of every dollar of OH spent until we are in a better financial position. 

 

"Either you are in this for the long-haul or not.  And that's what it will take...it's a long-term investment."  I fully agree with this statement as you want a loyal shareholders base who fully trust managements ability to run a business however based on the previous private placement, it was not fully subscribed and many original shareholders are starting to lose that trust.  I do not want to sound rude or condescending and sorry in advance.  I have had numerous private conversations with shareholders who were part of the original private placement (myself included) and this is the constant theme I heard. 

 

If you would like me to share some of the feedback offline, that's fine as well. 

 

Everyone, have I lost my mind or do people agree?

 

You aren't going to get enough in cost efficiencies to overcome the inherent burn rate...you need growth! 

[bookie71]

Please check out Schwab, I don't believe that they have that big of a charge.  I bought mine there.

[Parsad]

We all understand you cannot get enough cost efficiencies to offset the current burn rate however by reducing the OH further will mean less dilution until we have growth.  That's why you need to be cognizant of every dollar of OH spent until we are in a better financial position. 

 

"Either you are in this for the long-haul or not.  And that's what it will take...it's a long-term investment."  I fully agree with this statement as you want a loyal shareholders base who fully trust managements ability to run a business however based on the previous private placement, it was not fully subscribed and many original shareholders are starting to lose that trust.  I do not want to sound rude or condescending and sorry in advance.  I have had numerous private conversations with shareholders who were part of the original private placement (myself included) and this is the constant theme I heard. 

 

If you would like me to share some of the feedback offline, that's fine as well. 

 

You aren't going to get enough in cost efficiencies to overcome the inherent burn rate...you need growth! 

 

I absolutely agree with you, in terms of being efficient.  We've essentially dropped down now to about as low as we can go with the departure/consulting contract of our former CFO, our China GM...both inherited...brought legal in-house, etc.

 

We have fixed costs that are far more significant than any TSX listing costs:

 

- Lease for corporate and clinic

- Insurance (general, E&O, D&O)

- Registration, Filings, Press Releases, Licenses, Computershare

- Salaries, Wages & Benefits

- Audit & Tax Return Expenses

 

The TSX-V listing will provide increased liquidity, visibility, allow U.S. shareholders to deposit their certificates, and decrease the spread between the U.S. and Canadian market price.  Most U.S. brokerages do not recognize stocks listed on the CSE.  This creates issues for all shareholders, but in particular U.S. shareholders, including MPIC Fund I, LP which is the largest shareholder.  Cheers!