Current Price – $2.95
Offer Price – $2.55 – $3.00
Upside – $5 (opportunity might improve before the offer expires as stock is volatile on a daily basis)
Expiration date – 19 May 2015
Summary:
Intelligent Systems Corporation, a Georgia corporation, is offering to purchase for cash by means of a “modified Dutch auction” (described below) shares of its common stock, par value $0.01 per share, pursuant to (i) auction tenders at prices specified by the tendering shareholders of not less than $2.55 nor greater than $3.00 per share.
Assuming that the Offer is fully subscribed, the maximum of 1,960,784 shares that the Company is offering to purchase under the Offer represents approximately 22% of the total number of shares issued and outstanding as of April 21, 2015. Assuming the Offer is fully subscribed, the minimum of 1,666,667 shares that the Company is offering to purchase under the Offer represents approximately 19% of the total number of shares issued and outstanding as of April 21, 2015.
No proration for Odd Lot holders:
First, all shares owned in “odd lots” (less than 100 shares) all of which have been validly tendered at or below the Purchase Price
Source of Funds:
Assuming the Offer is fully subscribed, we expect the aggregate purchase price for the shares, together with all related fees and expenses, to be approximately $5.0 million. We intend to fund any purchase of shares pursuant to the Offer using proceeds from the sale of our ChemFree subsidiary, which closed on March 31, 2015.