HKTrader40
13 years ago
Here is the major info on CDC Corp.
Despite the initial numbers of CDC, which had some consolidated information, here is the correct numbers from the Schedules filed in the case on November 7, 2011.
Total assets per schedule A of $172.5 million. This includes $160.4 million for the interest in their subsidiaries. This includes CDC Software.
Total debts are $108.5 million, which includes $66.8 related to litigation by Evolution CDC and $40.0 million in Intercompany obligations to CDC Software. The $66.8 million is litigation and CDC disputes parts of this and has a counter claim. The 6-K filed on the sale of CDC Software specifically states all Intercompany amounts owed by CDC will be cancelled. At a minimum, this resolves $40 million in debt.
So a worst case scenario would be assets of $12.1 million if the entire $160.4 million related to CDC software and that would be very unlikely.
CDC will get more than $250 million for the sale of CDC Software.
A worst case scenario would be debts of $68.5 million if the litigation claim actually results in a $69 million damage award.
Per the Chapter 11 filing, the O/S shares are 35,180,685.
$250,000,000 + $12,100,000 = $262,100,000
$262,100,000 - $68,500,000 = $193,600,000
$193,600,000 / 35,180,685 = $5.50 per share.
Upsides to the above are that the actual value of all remaining subsidiaries exceeds the zero dollar value included above for BV of CDC’s interest in them and the large claim for litigation is significantly less than listed above. There seems to be little downside to the $5.50 number.
The pending legal dispute in the Chapter 11 case is whether to go forward with the $250 million sale of CDC Software or just sale a part of that company and operate the rest of CDC software as a going business. This is bases on whether selling just a part is worth more to the shareholders of both CDC Corp and CDC Software. So in theory, a ruling that alters the course would be more profitable to CDC. If they move forward with the $250 million sale of all of CDC Software, this would be thru establishing that offer as an initial bid and there would be an auction to see if any other buyers step in with a better offer. This again would be more upside.
Conclusion is anything up to about $6 here looks like a decent buy.
Three key things to read besides the general information in the 6-K to support all of the above.
The Bankruptcy Schedules on assets and debts filed on November 7, 2011 that show the numbers above. The section of the transcripts in the 6-K where the judge specifically talks about CDCA only having two real liabilities in the judgment against them and the Intercompany amount owed to CDC Software. The sections of the purchase agreement in the 6-K where it specifically says CDC is getting $10.50 per share of their stock and that all Intercompany obligations are cancelled.
SECTION 1.02 PURCHASE PRICE. In consideration of the aforesaid sale, assignment, transfer and delivery of the CDC Software Shares, Purchaser shall, at the Closing, pay, or cause to be paid to Debtor an amount, in cash, by wire transfer in same day funds denominated in U.S. dollars, of $10.50 per share totaling $249,788,301.00 (the “Purchase Price”).
SECTION 8.01 INTERCOMPANY OBLIGATIONS. The parties contemplate that all amounts due to or from Debtor or Software International on the one hand and any of the CDC Software Companies on the other hand (“Intercompany Obligations”) will be terminated as of the Closing. The terms and documentation related to such termination shall be mutually agreed by the parties hereto. The parties further agree that, without the prior review and consent of the Purchaser (i) the equity and debt of the CDC Software Companies shall not be restructured or recapitalized in any manner and (ii) any intercompany agreements among the CDC Software Companies shall not be amended or restated in any manner.
Canceling the $40 million debt owed by CDCA adds over $1 more to all the rest of the numbers.
retjarhead
14 years ago
Nice news. 26 July 2010.
CDC Global Services, a business unit of CDC Corporation (NASDAQ: CHINA) and a provider of consulting, IT and IT-enabled services, announced today it has entered into an agreement to provide design, implementation and operations services for the Foshan Municipal Cloud Computing Center. This Center provides cloud-based computing resources to the public sector users and businesses in the city of Foshan and the neighboring regions.
Previous article
The Nanhai People’s Government of Foshan, Guangdong province and IT provider Fujitsu have joined hands to invest and build Fujitsu’s first world-class data centre in China. The Fujitsu South China Data Centre will be built in the Guangdong high-tech service zone for financial institutions.
This agreement marks an extension of business collaboration between two partners who have been working together since 2007. This new initiative will be supported by the Guangdong Certification Authority (GDCA). This government body will work with Fujitsu Hong Kong and the Nanhai People’s Government of Foshan to build the new data centre and launch professional data centre services such as co-location services, data backup services and disaster preparedness services.
The Fujitsu South China Data Centre will provide IT support to small- and medium-sized enterprises in South China, especially those in the Pearl River Delta. This is also part of the company’s plan to expand its high-end data centre services to the rest of China.
Will begin operations from 2011
The project has been funded with US$29.5 million and companies estimate the data centre to cover around 10,000 sq m. Once the facility begins operations in early 2011, users will get a range of contracted services such as system application management and maintenance. IT support management, bank back-office service and data processing services are expected to increase efficiencies of organisations that choose to sign Fujitsu as their business partner.
sludgehound
15 years ago
CDC Games sees @50% Revs 2Q vs 1Q
press release
Jul 20, 2009, 8:30 a.m. EST
CDC Games Expects Approximately 50 Percent Increase in Revenue in Second Quarter of 2009 from the First Quarter of 2009
http://www.marketwatch.com/story/cdc-games-expects-approximately-50-percent-increase-in-revenue-in-second-quarter-of-2009-from-the-first-quarter-of-2009?siteid=nbsh
SHANGHAI & ATLANTA, Jul 20, 2009 (BUSINESS WIRE) -- CDC Games, a business unit of CDC Corporation /quotes/comstock/15*!china/quotes/nls/china (CHINA 2.32, +0.16, +7.41%) and pioneer of the "free-to-play, pay for merchandise" model for online games in China, announced today that, based on preliminary financial data and projections, it estimates that its revenue for the second quarter 2009 will increase by approximately 50 percent over revenues in the first quarter 2009.
The projected increase is primarily attributed to the rebound of Yulgang metrics after its launch of a major new version (3.0), called Nan Lin Feng Yun, on March 27, 2009.
"We are very pleased to see a significant rebound in revenue at CDC Games in our second quarter of this year and believe this trend will continue as a result of the launch of Nan Lin Feng Yun," said Monish Bahl, CFO of CDC Games. "We also are excited about the prospects of our anticipated launch of The Lord of the Rings Online in the second half of this year. With the continued popularity of Yulgang and our anticipated launch of The Lord of the Rings Online, as well as new planned versions of some of our other games, we feel optimistic about our prospects for the remainder of 2009 and beyond."
* Special Note Regarding CDC Games Financial Guidance
The financial guidance provided herein applies to CDC Games Corporation only, a business unit of CDC Corporation. This financial guidance does not apply to, and is not indicative of, the consolidated financial results of CDC Corporation, or the financial results of CDC Software Corporation, China.com, Inc. or any of their respective affiliates or subsidiaries. Investors are cautioned not to place reliance on the financial guidance set forth herein for purposes of any investment decision with respect to the shares of CDC Corporation or any of its affiliates or subsidiaries, and should read the foregoing in conjunction with the reports and other materials filed with the United States Securities and Exchange Commission by CDC Corporation, including, without limitation, its Annual Report on Form 20-F for the year ended December 31, 2008, as filed with the Securities and Exchange Commission on June 30, 2009 and other filings and submissions we may make, from time to time.
About CDC Games
CDC Games is a market leader in online and mobile games in China with more than 160 million registered users. The company pioneered the "free-to-play, pay-for-merchandise" online games model in China with Yulgang and launched the first free-to-play, pay for merchandise FPS (first person shooter) game in China with Special Force. Currently, CDC Games offers a variety of popular MMO online games in China. For more information on CDC Games, visit: www.cdcgames.net.
About CDC Corporation
The CDC family of companies includes CDC Software focused on enterprise software applications and services, CDC Global Services focused on IT consulting services, outsourced application development and IT staffing, CDC Games focused on online games, and China.com focused on portals for the greater China markets. For more information about CDC Corporation /quotes/comstock/15*!china/quotes/nls/china (CHINA 2.32, +0.16, +7.41%) , please visit www.cdccorporation.net.
Cautionary Note Regarding Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding our beliefs about the financial performance of CDC Games, including expected amounts for, and increases in, revenues, our beliefs regarding the continuation of this trend in revenue and the potential reasons therefor, our beliefs regarding the present and future momentum in the CDC Games business, our beliefs regarding the quality of our games pipeline, the timing of future games launches, and our ability to launch additional games in the future, our beliefs regarding the accuracy, completeness and utility of the revenue guidance provided herein for CDC Games, our beliefs about our expected financial performance and our financial and strategic position for the remainder of 2009 for CDC Games, and other statements that are not historical, the achievement of which involve risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions proves incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make. These statements are based on management's current expectations and are subject to risks and uncertainties and changes in circumstances. There are important factors that could cause actual results to differ materially from those anticipated in the forward looking statements, including the following: (a) the ability to realize strategic objectives by taking advantage of market opportunities; (b) the ability to successfully develop, license and market other games; (c) the future growth of the online games industry in the China market; (d) the possibility of launch and development delays; (e) the development of competing products and technology; (f) the continued popularity and player acceptance of Yulgang, Special Force and our other games; and (g) the continuation of our contractual and other partners to perform their obligations under agreements with us. Further information on risks or other factors that could cause results to differ is detailed in filings or submissions with the United States Securities and Exchange Commission made by CDC Corporation in its Annual Report on Form 20-F for the year ended December 31, 2008 filed with the Securities and Exchange Commission on June 30, 2009. All forward-looking statements included in this press release are based upon information available to management as of the date of the press release, and you are cautioned not to place undue reliance on any forward looking statements which speak only as of the date of this press release. The company assumes no obligation to update or alter the forward looking statements whether as a result of new information, future events or otherwise.
SOURCE: CDC Games
CDC Corporation
Investor Relations:
Monish Bahl, 678-259-8510
Mbahl@cdcsoftware.com
or
CDC Software
Media Relations:
Lorretta Gasper, 678-259-8631
lgasper@cdcsoftware.com
Copyright Business Wire 2009
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Value_Investor
13 years ago
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