PACI - Precision Auto Care, Inc

[valueyoda]

Don't feel bad about it. I remember wanting to buy a substantial stake  of the company back then in that low range, but it was really hard to obtain a lot of shares. It is not a high quality company, but it was really cheap back then, now it is merely a fair business at a less than fair price.

[Foreign Tuffett]

Assuming 37 / 22.7 outstanding or even 37 - 4.5 / 22.7 outstanding, the spread is still attractive to hold (well the price is moving fast, so let's say attractive at 1.20 or below). 22.7 outstanding is from Marketwatch. Company fillings say 19.X outstanding: http://www.precisiontune.com/wp-content/uploads/2014/07/Quarterly-report-033117.pdf

 

So... buy here up to 1.20 or 1.30?

 

Or am I missing something?

 

It should be roughly 19.7 or 19.8m shares after vesting options (which I assume they will). The preferred shares should cost $700k or so and there's $1.3m in LT debt. Offer looks like $1.55 - $1.78 per share to me.

 

Congrats on buying some of my shares at a $1.10 this morning Snarky. Stupid limit orders.

 

Why are you giving them no credit for the $3.6M in cash they had on the balance sheet as of 3/31? I am seeing just over $3M in total liabilities so if anything they look to have positive net working capital.

 

Because I completely forgot about it. Nice catch!

 

New all-in range is $1.73 - $1.95

 

Schwab, could you explain how you get to 700k for the preferred shares? I am seeing $69,619 (6720 * $10.36). And for LT debt, $863,978 (non-current liabilities). I am looking at http://www.precisiontune.com/wp-content/uploads/2014/07/Quarterly-report-033117.pdf.

 

I'm seeing the same thing and am still trying to gobble up more shares.

 

I don't want to post my model (please do your own work), but a conservative (no cash from option exercises, no credit for positive working capital, and assuming all cash from escrow account is used) valuation gets me to a $1.64 per share price.

 

While anything can happen, I can't think of many reasons this wouldn't close. Insiders own the majority of PACI shares, so the shareholder vote should pass easily. I don't anyone would argue that IEP can't come up with the necessary cash.

 

[undervalued]

For some reason my order from IB was not filled but Fidelity worked just fine. Anyone else using IB for this trade?

[Jurgis]

Well, you guys coulda have had my shares at 1.59 today. No takers.  ::)

 

Monday... who knows... I may leave the GTC sell order or not. If I do, it's gonna be AoN, so look at whatever service shows these since they don't show up on bid/ask/etc.  8)

 

 

This public service is provided... by me.  8)

 

 

Traveling next week, so no order/price tracking minute-by-minute.

[Guest Schwab711]

@undervalued: The $700k should have been $70k, just a fat finger error, and I added the current LT debt/leases. I think there's probably a few other costs but it was a quick estimate.

 

@FT: This is pretty darn close to the price I thought they would get in a buyout and I actually thought MNRO made more sense as an acquirer than Pep Boys (or anyone else), given locations. This seems like a pretty safe transaction to close. I suppose another bid isn't out of the question, but pretty low odds MNRO wants another franchiser at this price. We'll see. I bought some of my shares back that Snarky stole :)

[fareastwarriors]

Carl Icahn Ups His Bet by Buying Precision Auto Care

Icahn has been expanding the reach of its auto service network in recent years

 

https://www.wsj.com/articles/carl-icahns-automotive-business-to-acquire-precision-auto-care-1496412399

[undervalued]

Did anyone use Interactive Broker for this trade over the web? I am guessing that I didn't get any shares because the setting by default was not to go outside their 'Network' to purchase shares.

[maybe4less]

Did anyone use Interactive Broker for this trade over the web? I am guessing that I didn't get any shares because the setting by default was not to go outside their 'Network' to purchase shares.

 

I had no problems.

[undervalued]

Did anyone use Interactive Broker for this trade over the web? I am guessing that I didn't get any shares because the setting by default was not to go outside their 'Network' to purchase shares.

 

I had no problems.

 

That's weird. I placed 2 orders from two different accounts in Fidelity and both were filled. I also placed one order in IB with a limit 1 cent higher at the same time and it wasn't filled. Just wondering how to solve it in the future. I guess it's a good idea to have money in multiple brokerage accounts in case situation like this arises in the future?

[SnarkyPuppy]

Any news on when the voting meeting is?

[schin]

Did anyone use Interactive Broker for this trade over the web? I am guessing that I didn't get any shares because the setting by default was not to go outside their 'Network' to purchase shares.

 

I had no problems.

 

For IB, I getting degraded execution on small cap stocks... Ameritrade and Fidelity will do find for PACI and small cap companies, but I cannot get IB to execute for me on these stocks.. even if I'm paying over ASK. It's a bit crazy. Anyone have this issue with IB?

[undervalued]

anyone got their cash yet?

[bianji108]

has anyone get the remaining payout from escrow?

[Okonomen]

Anyone who knows about companies offering similar products as PACI? Thinking vehicle repair, maintenance etc. I know about AutoZone, O'reileys and all the auto part retailers, but is there a company similarto PACI out there still listed?

[kab60]

Anyone who knows about companies offering similar products as PACI? Thinking vehicle repair, maintenance etc. I know about AutoZone, O'reileys and all the auto part retailers, but is there a company similarto PACI out there still listed?

Monro but recently ran up

[bianji108]

just received the escrow payout of 0.172 per share. probably only flat overall for my $1.75 purchases...