rukawa Posted September 8, 2017 Share Posted September 8, 2017 They are a small company that bought a much larger company Columbian company called SED International de Colombia (SEDC) for $1.4 million. SEDC distributes computer and technology systems in Colombia and Latin America. So now we have Paragon Tech, a 2.4 million mcap company and yet its statistics are those of a company 10 times as large: Mcap = 2.4 million Revenue: 50 million Current Assets: 29 million Liabilities: 24.6million NCAV/share = 2.6 share price = 1.2 The stock represents more of a mutli-bagger type of speculation than a real investment. The whole situation is odd. How do you buy a business with 50 million in sales for 1.7 million unless the business is going bankrupt? Link to comment Share on other sites More sharing options...
SnarkyPuppy Posted September 8, 2017 Share Posted September 8, 2017 Letter sounded great. Price looks great. "Acquisition" looks like it was given to them as part of a restructuring. CEO seems to be a value guy. With that said... CEO's name is Hersham Gad Did some quick googling and: http://www.businesswire.com/news/home/20160526006535/en/Rubicon-Technology-Sends-Letter-Stockholders Link to comment Share on other sites More sharing options...
SnarkyPuppy Posted September 8, 2017 Share Posted September 8, 2017 Digging into this more out of curiosity. Looks like he has a value fund - http://gadfunds.com/ Also this seems related - https://gadcapital.com/ Also has a picture with Buffett on his seekingalpha page. Bizarre. Link to comment Share on other sites More sharing options...
shalab Posted September 8, 2017 Share Posted September 8, 2017 I believe Sanjeev invested in one of his companies and it didnt turn out well. Link to comment Share on other sites More sharing options...
OracleofCarolina Posted March 27, 2019 Share Posted March 27, 2019 up over 100% today on release of their annual report https://backend.otcmarkets.com/otcapi/company/financial-report/214387/content Link to comment Share on other sites More sharing options...
QuickFS Posted March 27, 2019 Share Posted March 27, 2019 I remember this thread about Sham Gad from 2013: http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/wtf!/ Mr. Gad did not have the best reputation back then, though I haven't followed him in the intervening years. He admires Buffett, but does he act like Buffett? Link to comment Share on other sites More sharing options...
Foreign Tuffett Posted March 28, 2019 Share Posted March 28, 2019 Any thoughts on why they own two $750,000 condos in Las Vegas? Operations are in Easton, PA and Colombia, Sham Gad lives in Athens, GA.....why do they own Vegas condos? Link to comment Share on other sites More sharing options...
DTEJD1997 Posted March 28, 2019 Share Posted March 28, 2019 Any thoughts on why they own two $750,000 condos in Las Vegas? Operations are in Easton, PA and Colombia, Sham Gad lives in Athens, GA.....why do they own Vegas condos? Sham still lives in Athens GA? I was aware of the Vegas condos, and this is the one of the main things that prevented me from buying in. The time to have been buying property in Vegas was YEARS ago...not so much now. I would also think that the biggest percentage moves are going to come in the lower end properties...not so much in the $750k properties. If PGNT has excess capital laying around, why not pay down debt OR build up the balance sheet? I think what is going to happen is that Sham is going to the money coming in from the companies and re-invest in whatever grabs his attention. As the years/deals go by, some are going to be turkeys, most probably "so-so", and hopefully a couple/few will be huge hits. It would be FASCINATING to see the deals Sham took a pass on! Link to comment Share on other sites More sharing options...
Orchard Posted March 28, 2019 Share Posted March 28, 2019 Anyone know which buildings the condos are in? And are they renting them on purely residential or is this airbnb type stuff? Sorry for the stupid questions. I know nothing about Vegas. Link to comment Share on other sites More sharing options...
Foreign Tuffett Posted March 28, 2019 Share Posted March 28, 2019 Anyone know which buildings the condos are in? And are they renting them on purely residential or is this airbnb type stuff? Sorry for the stupid questions. I know nothing about Vegas. I believe somewhere in the reports it's mentioned that the condos are in a luxury non-gaming building. Based solely on that info, my guess is that they're in the Trump International. https://en.wikipedia.org/wiki/Trump_International_Hotel_Las_Vegas As to your second question, I don't know. Anyway, I think this is "Biglari starting a cafe in Monaco" or "Family-controlled Hong Kong company buying residential properties in various European cities" level capital allocation. Link to comment Share on other sites More sharing options...
Orchard Posted March 28, 2019 Share Posted March 28, 2019 hmm...Trump International: As an owner you can stay in your condo when you want, and rent it out through the hotel front desk when you're not using it. Would explain how they can buy in Vegas. Link to comment Share on other sites More sharing options...
Orchard Posted March 28, 2019 Share Posted March 28, 2019 if it's indeed this property, then it sounds like you are long two hotel suites: https://www.forbes.com/sites/mattdrange/2018/01/12/sales-of-donald-trump-owned-condos-are-on-the-rise-at-trump-las-vegasnowelcome1/#465b576c68aa Link to comment Share on other sites More sharing options...
DTEJD1997 Posted March 29, 2019 Share Posted March 29, 2019 hey all: I don't think the properties are at the Trump building. Not 100% sure... It will also be interesting to see if PGNT holds it's sudden gain. The stock & volume was off a bit today. My guess is that it drifts back down, but not all the way to where it was. If they can keep posting earnings for a few more quarters, then we might get a sustained higher price? Link to comment Share on other sites More sharing options...
DTEJD1997 Posted May 16, 2019 Share Posted May 16, 2019 Hey all: The units that are owned by PGNT are in the Waldorf Astoria. They are NOT in Trump Tower. Link to comment Share on other sites More sharing options...
Mark Jr. Posted September 30, 2020 Share Posted September 30, 2020 Sham Gad was on Planet Microcap #141 podcast today He described the buyout of SED (I assume) as a restructuring and that he took the company from 10M ARR to about 100M ARR. The latest 10-Q is here: http://pgntgroup.com/wp-content/uploads/2020/08/PGNT-Q22020.VFinal.pdf, nothing has been filed at SEC.gov since 2008 (OTCBB I guess). The gross margins are ~ 10%. The short term debt is 8X the market cap (~ 32M) and of that, nearly 19M is accounts payable. The expenses a little bit of SG&A and nothing else, which is then gets you to a low P/E. I find it all kinda weird but I don't know anything about the underlying business (is it paragontech.com ?). He described the two condos in Vegas as "we have a subsidiary that owns real estate in Las Vegas". Seems a tad of an embellishment. SEC filings show him to have gone activist on at least a couple of fronts: AeroCentury Corp. (NYSE: ACY), where he was trying to get board representation and has turned acrimonious: https://www.sec.gov/Archives/edgar/data/90045/000110465920108878/tm2031833-1_dfan14a.htm And something to do with Rubicon Technology, Inc (Nasdaq: RBCN) https://www.sec.gov/Archives/edgar/data/90045/000114420416108920/filename1.htm Still looking around that one. I read his book many years ago and liked it, recommended it to a friend to learn more about value investing. Don't think I'd invest in this though. Not until I understood it a lot more, like what exactly that anchor business is exactly. Link to comment Share on other sites More sharing options...
OracleofCarolina Posted April 2, 2021 Share Posted April 2, 2021 https://backend.otcmarkets.com/otcapi/company/financial-report/276907/content great 2020 for PGNT, COVID seemed to help their businesses, stock went up significantly on Thursday after the release of letter Link to comment Share on other sites More sharing options...
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