Does CA allow for side letters? This allows one person to front for another by ‘buying’ in his name but he issues a letter to the ‘real’ owner acknowledging the latter’s ownership. Another way is for the ‘owner’to take physical delivery of the stock and then he signs a Stock Power in favor of the real owner and delivers the certificate and Stock Power to the real owner.
Ron Burkle + Xinhua = $$instant$$ ping.
The disclosure was vague as to the reasoning behind Yucaipa’s move, noting only that the “shares are undervalued by the market at the present time.”
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Xinhua Finance Media seeks to become the dominant financial information and advertising services provider for China.
The sellers of the Xinhua Finance Media stock to Yucaipa have been identified in filings only as “existing shares from certain shareholders who have come out of IPO lockup.”
Based on the company’s pre-initial public offering document, insiders held 24.7 million shares.
In May, its Chief Financial Officer, Shelley Singhal, resigned shortly after a Barron’s reporter posed questions about his background as a penny-stock banker.
The No. 2 shareholder at the time, Singhal held 6.6 percent of the company’s stock, or over 6.41 million shares.
Chief Executive Fredy Bush owns 9.36 million shares, according to the filing.
A series of Post investigations into Xinhua’s numerous related-party transactions highlighted some of Singhal’s profitable dealings with several of the company’s subsidiaries.
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