posted
netGuru Inc. Board of Directors Approves Distribution to Shareholders; As Partial Liquidation Related to Sale of REI Assets 12/29/2005 4:00:01 PM
YORBA LINDA, Calif., Dec 29, 2005 (BUSINESS WIRE) -- netGuru Inc.'s (Company) (NGRU) board of directors, on the recommendation of a special committee of the board, approved a cash distribution in the amount of $0.85 per share payable on January 27, 2006, to shareholders of record as of January 17, 2006.
MARKETWATCH TOP NEWS Stock market futures lower on last 2005 trading day CORRECT: Tokyo markets take a breather Europe slips on profit taking in thin trading AT&T, Intel work on redefining image Arcelor ups Turkish steelmaker stake
The distribution follows the Company's sale of the assets of its Research Engineers International subsidiary and STAAD product lines in November and the board of directors' subsequent decision to distribute substantially all of the net proceeds of the sale after repaying debt and setting aside reserves for taxes, continuing operations, and other contingencies.
The Company intends that the distribution constitutes a return of capital associated with partial liquidation and believes that there is a reasonable basis to take a tax position to this effect. As a result, netGuru anticipates that shareholders who are not taxed as corporations may be able to elect to report any gain or loss resulting from the distribution as a capital gain or loss for federal income tax purposes. However, this expectation is not intended to be, nor should it be interpreted as, tax advice, and shareholders should consult their qualified tax advisors regarding tax treatment of the distribution.
In connection with the distribution, the holders of options issued under the Company's stock option plans will be notified that, in accordance with the terms of the plans, plan-related options will cease further vesting and then will terminate if not exercised prior to the ex-distribution date (anticipated to be January 30, 2006). Holders of non-plan options and warrants that remain outstanding on the ex-distribution date will be notified that the board has approved an $0.85 per share reduction in the exercise prices of those options and warrants on the ex-distribution date.
netGuru Chairman and Chief Executive Amrit Das remarked: "Regarding netGuru's continuing operations, the special committee of the board is considering strategic alternatives, such as a business combination or the sale of netGuru's remaining assets, with a transaction expected to occur in the 2006 calendar year. In the interim, management intends to continue to cut costs and expenses where feasible to reduce cash usage."
About netGuru
netGuru is an engineering services company offering engineering business process outsourcing (EBPO) services for the architecture, engineering, and construction (A/E/C) industry; document/project collaboration software/solutions for A/E/C companies, enterprise software providers, software integrators, and other businesses engaged in document/project-centric operations; and technical services and support. netGuru offices are located in the United States, Europe, and India. For more information, go to www.netguru.com.
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995:
With the exception of historical or factual information, the matters discussed in this press release, including the plan and terms of the distribution; planned termination of stock plan options; planned option and warrant exercise price adjustments; tax treatment of the distribution; cost and expense reductions; continuing evaluations of alternatives; and the identification and consummation of potential strategic alternatives are forward-looking statements that involve risks and uncertainties. Actual future results may differ. Factors that could cause or contribute to such differences in results include, but are not limited to, the ability of the Company to complete the distribution plan, terminate stock plan options, adjust option and warrant exercise prices, reduce costs and expenses, identify and consummate a potential strategic transaction; business conditions; the demand for collaborative software and EBPO services; competition; and other factors discussed in the "Risk Factors" Section of netGuru's Form 10-KSB for the fiscal year ended March 31, 2005, and other filings made with the U.S. Securities and Exchange Commission.
SOURCE: netGuru, Inc.
netGuru, Inc. Bruce Nelson, 714-974-2500 x-5215 or Silverman Heller Associates Dan Matsui/Gene Heller, 310-208-2550
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
Closed at $0.73 After hours...$1.15 Premarket....$1.25
Think about this:
If you get in less than $1.50....and get $0.85 a share cash dividend....do you really think your going to lose money???? No brainer here. Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
Good to see folks grinding out these cheap Nasdaqers now...
They only make good sense.....
I've been digging these things up and posting them since I first came to Allstocks..
Heres the funny part, people have ridiculed me for posting them....
Their argument? They cost to much! and people can't buy enough shares...
When ya stop laughing, I got another one.!!!LOL
Oh well, here it is.. "THE NASDAQ is for only the rich...
When ya stop laughing on that one, I do have more. hehe
Here it comes! From another board,,,The absolute most Hairbrained was......." YOU ARE DESTROYING the pinks! are you a FED!
Well, I like the current situation, keep it up folks!
I'll be leaving for the South Pacific soon, and all I'll have to do is check Allstocks to see what all you capable people are digging up!!!
I'd pour some more sugar on this post, but I don't want to slow yaw'll down in the goo..
Posts: 10729 | From: oregon | Registered: Feb 2005
| IP: Logged |
quote:Originally posted by Dustoff101: Good to see folks grinding out these cheap Nasdaqers now...
They only make good sense.....
I've been digging these things up and posting them since I first came to Allstocks..
Heres the funny part, people have ridiculed me for posting them....
Their argument? They cost to much! and people can't buy enough shares...
When ya stop laughing, I got another one.!!!LOL
Oh well, here it is.. "THE NASDAQ is for only the rich...
When ya stop laughing on that one, I do have more. hehe
Here it comes! From another board,,,The absolute most Hairbrained was......." YOU ARE DESTROYING the pinks! are you a FED!
Well, I like the current situation, keep it up folks!
I'll be leaving for the South Pacific soon, and all I'll have to do is check Allstocks to see what all you capable people are digging up!!!
I'd pour some more sugar on this post, but I don't want to slow yaw'll down in the goo..
im starting to like the NASDAQ ones. made some nice coin this week on them. Its better to make 10% on $4000 instead of risking 100% on $1000
Posts: 2329 | From: MD | Registered: Jul 2005
| IP: Logged |
posted
Kywee, Phoenix, hell everyone! Maintain course and speed on these Nasdaqers!!! You will be well served, disiplined, and on your way to success if you do...
But you can be drawn back into dangerous waters by the sirens of these Pinks...The damn things can ruin your weeks work, in a matter of minutes..
Posts: 10729 | From: oregon | Registered: Feb 2005
| IP: Logged |
posted
i totally agree Dustoff ... it's much easier and more relaxing dealing with Nasdaq... Beside the gains r not little at all ... it's easy to make gain in Nasdaq without risking alot.
Posts: 204 | Registered: Apr 2005
| IP: Logged |
posted
in order to get the divi do i have to buy on or before jan 17th or is it like FCDH where you have to buy 3 days before because the shares have to settle?
also for example, if i buy 4000 shares at $1.00, they will give me $.85 per share, so I would get $3400 and still have my shares to do whatever I want with?
if someone could clarify this that would be great.
Posts: 2329 | From: MD | Registered: Jul 2005
| IP: Logged |
posted
common, restricted, cash divvies; different animals--call Jennifer Fainer (sp? pronounced Finer, I believe) at NASD Dividends Dept: 203-385-6366.
posted
I still can't believe they're giving away basically 80% of the stock price to holders. I'm not sure about the funds being settled to be on record....maybe someone else can answer that one....I got burned once before for something in that nature.....but I think I had bought after the time period.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
<moneymoneymoney>
unregistered
posted
I'm taking my chances to get in by buying 500 X 1.06. Would be damn nice to have an extra little cash pot from this.
posted
im going to buy in, but closer to jan 17th. i just need to find out if my shares need a 3 day settlement period
Posts: 2329 | From: MD | Registered: Jul 2005
| IP: Logged |
<moneymoneymoney>
unregistered
posted
Can't pass this chance by. Already up plus it seems as if all common stockholders will be receiving .85 per share. I basically paid .15 cents a share with the distribution anyhow. I'm buying more plus it seems the latest trade of 1,000 shares went for 1.20 per. This is cash money.
posted
Yep.......Cash money is good for me....if they were offering stock shares......Not interested.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
Also, Would it be smart to thorw money at the stock to make a quick buck? If the stocks dropped after the dividend hopefully they would not drop to low.
Posts: 81 | Registered: Dec 2005
| IP: Logged |
<moneymoneymoney>
unregistered
posted
I don't believe the stocks will go down cause They sold one of their subsidiries last Nov and will be distributing that cash. I am buying more when there is a good chance just in case. I bought 500 X 1.06.
posted
Well, it sounds good...too good. Now, you could make a profit if the price keeps going up after you bought it...until the cash distribution, but I would think that the stock price will go down after the distribution.
Posts: 217 | From: Texas | Registered: Jun 2003
| IP: Logged |
posted
You only have to be on record on the 17th. The 18th you should be able to sell and still get the cash payout. If I'm wrong about this....someone please tell me. As for the price dropping......it will drop FAST on the 18th....unless you have to hold until the 27th to get the money....at that point....I would expect it to drop down to around $0.50.
With this logic.....$0.50+0.85=$1.30. $1.30 or higher...you will most likely lose money. Target entry would be anything less than $1.25. Also, I'm sure there will be some great opportunities to day trade this one before the 17th for those interested. The highest I could expect this one to get would be $2.25.....and that is really pushing it. I think $1.60 would be a reasonable guess....
Also, I'm sure the MM's will move in and short the hell out of this one after the 17th.....so beware.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
Yep, thanks for the info. I really hate playing with dividends, and cash pay-outs but some are ok. I remember GAXY had a new post claiming the 31st when you had to own it by the 29th. Got burned a little on the dividends.
Thanks BuyTex....I see what you meant now.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
In reading the company's PR, I didn't notice the term "free money", although at least one poster used the term. I did notice some loophole language like "the ability of the Company to complete the distribution plan." If they have the money and plan to actually distribute it, why is there a question about their ability to distribute it? Other language in the PR "....$0.85/share reduction..." One poster estimates that the stock price might rise anywhere to $1.60 or $2.25/share. Why would it double, when the company is liquidating about 80% of its assets? If I owned the stock and had a profit,I wouldn't wait to be the last one out the exit door.
Posts: 217 | From: Texas | Registered: Jun 2003
| IP: Logged |
posted
What is the power of your success? I feel its the confidence to make the right investing choices. Get great help with this established and impressive newsletter. They will notify you when something special is on the move and worth mentioning. You will not receive any annoying junk mail and there is no charge for the service. Definitely worth a look. Check it out at.... http://galeon.com/panna346/Posts: 4 | From: Brewster Ny | Registered: Jan 2006
| IP: Logged |
quote:Originally posted by Who?: In reading the company's PR, I didn't notice the term "free money", although at least one poster used the term. I did notice some loophole language like "the ability of the Company to complete the distribution plan." If they have the money and plan to actually distribute it, why is there a question about their ability to distribute it? Other language in the PR "....$0.85/share reduction..." One poster estimates that the stock price might rise anywhere to $1.60 or $2.25/share. Why would it double, when the company is liquidating about 80% of its assets? If I owned the stock and had a profit,I wouldn't wait to be the last one out the exit door.
What is your deal with this post? Obviously your talking to me....so what are you saying??? Please post your information if your reading something different than what I read. Don't sit here and bash me. Time will tell who is right and wrong.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
R1Man No,I wasn't bashing you. I was just posting my opinions/questions on what had been posted and on the PR.
Posts: 217 | From: Texas | Registered: Jun 2003
| IP: Logged |
posted
Last day to buy. Here is an update about the cash payout.
netGuru Inc. Clarifies Ex-Distribution Date; Regarding Partial Liquidation Related to Sale of REI Assets 1/13/2006 1:16:01 PM
YORBA LINDA, Calif., Jan 13, 2006 (BUSINESS WIRE) -- netGuru, Inc. (Company) (NGRU), in response to numerous inquiries, clarified the timing of the "ex-distribution" date related to the cash distribution in the amount of $0.85 per common share that is anticipated to be paid on January 27, 2006, to shareholders of record as of January 17, 2006.
An ex-distribution date is the day on or after which shares trade without a particular distribution. Due to the magnitude of the anticipated distribution and consistent with NASD Uniform Practice Code Rule 11140(b)(2), the ex-distribution date, as previously announced, is anticipated to be January 30, 2006, which is the first business day following the January 27, 2006, payable date for the distribution. Shareholders should contact their brokers with any questions regarding the mechanics of the distribution.
About netGuru
netGuru is an engineering services company offering engineering business process outsourcing (EBPO) services for the architecture, engineering, and construction (A/E/C) industry; document/project collaboration software/solutions for A/E/C companies, enterprise software providers, software integrators, and other businesses engaged in document/project-centric operations; and technical services and support. netGuru offices are located in the United States, Europe, and India. For more information, go to www.netguru.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
With the exception of historical or factual information, the matters discussed in this press release, including the plan, terms and timing of the distribution are forward-looking statements that involve risks and uncertainties. Actual future events may differ. Factors that could cause or contribute to such differences include, but are not limited to, the ability of the Company to complete the distribution plan, terminate stock plan options, adjust option and warrant exercise prices, reduce costs and expenses, and identify and consummate a potential strategic transaction; business conditions; the demand for collaborative software and EBPO services; competition; and other factors discussed in the "Risk Factors" Section of netGuru's Form 10-KSB for the fiscal year ended March 31, 2005, and other filings made with the U.S. Securities and Exchange Commission.
SOURCE: netGuru, Inc.
netGuru, Inc. Bruce Nelson, 714-974-2500 x-5215 or Silverman Heller Associates Dan Matsui/Gene Heller, 310-208-2550
Copyright Business Wire 2006
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
posted
I screwed up! I called ML and they said I had to buy it on the 11th. They said the general rule is trade date plus 3 days. So to get the dividend....you had to buy it on the 11th, the 12 is day 1, the 13th is day 2 and the 17th is day 3. Sorry for anyone who bought after the 11th. I bought on the 17th. Now the good news is....you can sell it today! Its bid is $1.07. You will still get the dividend on the 30th. I'm suprised that the stock didn't hit $1.50's and hasn't tumbled yet. Good luck all.
Posts: 2367 | From: Detroit | Registered: Mar 2005
| IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
![[Big Grin]](biggrin.gif)
![[Smile]](smile.gif)
