Another successful going private transaction deal has been completed. I received cash yesterday for the 999 shares of Major Automotive Companies (MJRC.PK) that I purchased for the Special Situations Real Money Portfolio back on January 25, 2006.
Let me quickly run through the performance stats. The 999 shares of Major Automotive Companies I purchased for my son’s Coverdell Education Savings Account cost me $1,605.35 and I received $1,898.10 on Wednesday, March 29. That netted me $292.75, which is an 18 percent gain on my original investment. It only took 63 days for me to be cashed out of this deal. Taking that into consideration, my average annualized rate of return for this transaction comes to 106 percent!
I now have $2,075.44 in the Special Situations Real Money Portfolio. You might be able guess what I’m going to buy tomorrow, but if not, you can find out by joining Contributor’s Corner.
By the way, a few weeks ago I mentioned that I bought another stock for the Special Situations Real Money Port. That stock was PVC Container (PVCC). I purchased 1,600 shares for $2.31 per share. PVC Container plans on cashing out shareholders holding less than 2,000 shares for $2.39 per share. The transaction was just approved by shareholders, so hopefully in a few weeks I will receive cash for this going private transaction as well.