A co-op being acquired by a hedge fund should not be possible. What the hell?
"yesterday a unanimous decision by its board of directors to sell substantially all of its assets to Kingswood Capital Management"
> the elimination of the co-op structure is “needed to ensure a stable future for MEC’s retail business.” In 2019, the retailer lost a reported $11.487 million on annual sales of $462 million, a slide that capped years of disappointing performance for the company
> In the end, however, the board concluded that the only realistic path forward was a sale to Kingswood.
Doesn’t sound like there were a lot of bidders clamoring to take it over. Holders of $5 shares may have had a realistic option to get $0 by not selling or $0 by selling.