UB Software Provider Out - The Merry-go-round continues - Page 6

Salmon · #51 10-23-2006, 05:03 PM

I fail to see anything unethical in what UB has done.

Unless their investors were as thick as bricks and are congenital open mouth breathers, they must have known that this was a high risk investment, i.e. they could make a huge bundle or lose almost their entire initial investment. They HAD to have known the risks assuming they had more than two neurons to rub together.

UB merely did what UB had to do to stay in business.

MiltonFriedman · #52 10-23-2006, 06:49 PM

"What is happening is the founders of these companies are re-purchasing the entities that they took public at inflated prices. In this case, Russ Hamilton, Phil H, et all."

(That sounds wrong. According to other sources, UB was purchased by Absolute's owners, not the former UB software owners.)

"The same thing happened with Leisure and Gaming (the VIP Group) and is potentially happening with Sportingbet and WWTS."

BetWWTS was bought by BoDog, who had nothing to do with it in any of its former incarnations.

Before you cry big tears for shareholders, research the BetOnSports offering memorandum which literally warned potential investors in that IPO that they could go to jail for buying any shares.

MiltonFriedman · #53 10-23-2006, 06:53 PM

Did you even read any of the offering documents for these companies ?

MiltonFriedman · #54 10-23-2006, 06:56 PM

I know there are all sorts of sites with much less than 90% US player base.

(What effect the BetFair dumping of Crypto will have when it takes effect is a different issue than diversification of their customer base.)

By the way, WHY is this in the legislative forum and not Stocks ?

Sniper · #55 10-23-2006, 07:16 PM

Hi Milton,

fwiw, I reminded the leg mods a while ago, that they could move threads like this to the finance forum, if they so desired.

fleece_me · #56 10-24-2006, 12:10 AM

[ QUOTE ]
I reminded the leg mods a while ago, that they could move threads like this to the finance forum, if they so desired.

[/ QUOTE ]

We need a crimes and misdomeaner forum. Seriously, Milton how can you not find quarrel with selling something for 1 dollar that someone else would have paid millions for?

I don't think anyone here understands what a massive property sportsbook.com was. It was big enough to allow them to buy Paradise. It was the envy of all sportsbook operators. Sportsbook.com was a huge, huge operator and they were sold for 1 dollar.

And this is excusable for what reason? There is risk in investing in internet gambling companies?

Of course there is risk. Legal risks, not risks that companies are going to be given away, back to the founders, for zero money.

They sold something for 1 buck that someone else would have paid millions for. What distorted reality do you people live in where any of this is acceptable?

MiltonFriedman · #57 10-24-2006, 01:31 PM

"Seriously, Milton how can you not find quarrel with selling something for 1 dollar that someone else would have paid millions for?'

1. Excapsa: You have been beatinbg a drum about the sale by Excapsa being an "inside job" by Russ Hamilton and Phil Hellmuth. The actual facts are that the purchaser was NOT an insider. Rather, it was Absolute Poker's owners. They paid $10 million, plus another $120 million in dept. Did they get a great deal ? Yes .... but it was not an inside job, sorry.

2. Sportsbook sale: You are frothing at the mouth over this one. Did you forget that the Seller also shed about $27 million USD in liability, including shutdown liability, if operations had been discontinued ? (Whether such a sale really dumps liabilities that easily may be questionable, if the buyer defaults on them, but just because Calvin Ayres says he would have paid more upfront, it may not have been a bad "fire sale" of US facing assets.)

Did you really get that burned on all these investments or are you just a railbird with a loud voice ?

El Diablo · #58 10-25-2006, 02:37 PM

fleece,

Much of what you say about UB/Excapsa and the scheming involved in/around that venture is absolutely correct.

However, what others say about the risks of investing in offshore gaming companies traded on potentially questionable exchanges is also very true.

MiltonFriedman · #59 10-25-2006, 04:31 PM

"Much of what you say about UB/Excapsa and the scheming involved in/around that venture is absolutely correct."

My information had the purchaser as a third party, Absolute Poker, actually. My source is pretty good.

However, you are a well respected poster in these parts, so I have to ask:

Are you saying that the purchaser was NOT Absolute Poker or some other third party ?

Are you saying that a $57 Million cash disbursement, plus a $120 million Note are not an appropriate price for a US facing operation that was publicly valued at $200 million before the legislation ?

I have no financial interest in UB or Excapsa, but where do you get any information that the sale is an "inside" job or even unfairly priced ? If there were no "inside job", the the OP's claims fall apart. You seem to confirm his story, on what basis ?

El Diablo · #60 10-25-2006, 11:13 PM

MF,

I know no details about the deal itself and most definitely did not confirm anything about their latest transaction.

"Much of what you say about UB/Excapsa and the scheming involved in/around that venture is absolutely correct."

I was just making a much more general comment about various capital structure issues and other shady stuff involving those entities that a number of insiders there have commented on.

Again, I have no idea about anything having to do with the latest transaction (which is why I used the term "venture" instead of "deal"), my apologies for not being clearer as I can see how that could reasonably be inferred from my statement.