OSXman 12/5/2012 | 3:01:48 AM
re: Redback Shares Rock: What's Up? Creedon Keller, an investment fund, owns about 16% OF Redback. Recently, they announced that they would be shutting their fund and returning the capital to investors, with the exception of the Redback position. I don't know what their plans are, but I must assume that they would like to sell the Redback position and they would like to maximize the value of this position.

All I can say is that if I were Creedon Keller, and I owned 16% of the company, I would be trying to shop the company around to a strategic buyer who would pay me a premium for my whole position.

Redback has a hot product in a hot market, with a large backlog of business. I think it would make a terrific acquisition for any number of companies.

Laurel, a tertiary competitor, recently went for about 4x revenues. I suspect Redback will go for a lot higher than that.
longshort 12/5/2012 | 3:01:47 AM
re: Redback Shares Rock: What's Up? Agreed. RBAK is beginning to ramp up shipment of their SE to BLS,BT,KT, the list goes on. Companies like csco, jnpr, and even alcatel can use some of the growth to drive up their stock price. With bidding war, rbak could see 100% buyout premium. A $30-$40 per share buyout is very likely if the share trade up from here before the buyout.
lightreceding 12/5/2012 | 2:57:49 AM
re: Redback Shares Rock: What's Up? out soon. The guy who brought the SEC down on Qwest and is charged with Civil Fraud, after doing sweetheart deals with Redback and Cisco and others, and cost them tens of millions a month for defense. Joel is still hiding out at Redback where his buddy Kevin DeNuncio gave him a cushy VP job. He doesn't even have to come in to the office any more. Lives in a place outside of Seattle. Gets a cushy $250,000 pay check and a $500,000 loan for the new house. Must be nice.
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