If Vonage Was Built To Sell, Where Are The Buyers?
If Garrett Smith is right, that Vonage was built to be sold, then where are the buyers? I mean, other than Moshe Maeir’s offer to buy Vonage for $3.22 a share. Clearly they had higher hopes for their stock, but the market is not buying their story. Of course, I question Garrett’s assertion that Jeffery Citron made out like a bandit while the stock is continuing to approach penny stock status. Then again, I didn’t do the research to confirm or deny it.
If Vonage doesn’t take Moshe’s offer, which expires in a couple of days, I don’t know if they’re going to be around for much longer. Then again, I’m surprised they’ve been around as long as they have.
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Comment by Garrett Smith
Jeffery was the majority owner of Vonage. His 41% stake was worth over $500 Million when the company first went public. A paper profit yes, but this is six times his initial investment. While the company has tanked, his $81.5 million investment before Vonage’s IPO, allowed him to acquire 47.67 million common shares at an average of $1.71 each, according to documents filed with the Securities and Exchange Commission. All in total, even with the stock at $3 each right now, he has still doubled his money.