Friday, July 1, 2011

Esopus Creek Sues Syms.

So... It looks like the "keeper of the gate" argument that I espoused here, here, and here- in regards to Esopus Creek keeping Syms from doing anything too crazy is playing out... Syms is being sued by Esopus Creek so that Esopus Creek can go through the books of the company. In their formal complaint, Esopus uses various examples of what appears to be mis-management of the company to build a case...

This may well end turn out to be the start of one of the bigger developments for the company in recent memory... especially if it ends up making the exploration of strategic alternatives go a bit better.
Esopus & Syms Court

It will be interesting to see what happens. Here is a NY Post article on the suit. Do doubt, this will be one of the more interesting annual meetings ever.

Disclosure: Long Syms. This is not advice of any kind. Always do a ton of your own research in regards to anything that I say, do, write, or so much as even think about.


Anonymous said...

hi jeff- what's fair value for syms in your opinion? thanks in advance.

jeff said...

While I don't give out what I think a company is worth, I do think that SYMS is still undervalued, and am still long the stock.

Here is a link in which I talk about ways to think about SYMS.

I will add that it is hard to tell what SYMS is worth, as we don't know the chance of a sale, or, how the company would be sold off.

Anonymous said...

thx for link. great blog. what do you think of RDI as a hidden real estate value play? any other compelling hidden real estate values? thx in advance.

jeff said...

I have no opinion on RDI. There are some other ideas that I have for real estate plays at the moment. When I am ready to discuss them, I will be sure to make a post. :)