Thanks Rusmin for your sharing your insights on this.
I’m surprised that the report interpreted dividends from founder as something potentially fraudulent and combined that with the proceeds from share placements. Nonetheless, thanks for your clarification!
Am I right to say that in terms of the management quadrant, Silverlake has failed in this aspect? Though I recalled Victor shared that the quality of management in Asia is key. Silverlake being listed for more than 10 years, I would think that if the founder wanted to scam minority shareholders, he wouldn’t have taken that long to do that.
After such a short selling report, the price has corrected to below $0.60, which I felt that this company is kinda valuable. In terms of the valuation quadrant, what valuation method would you employ? Or would you suggest just skipping this company altogether?
As Warren Buffett said: “I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.”
