Anil Choudary Nalluri recently filed an SC 13D/A report indicating that he owns 1,092,356 shares (market value $2.7 million) in Avalon Holdings Corporation (AWX), which represents approximately 33.2% of the share capital and 11.6% of the voting power.
That was a good catch. I do recall it, but have never seen anything in the 10-K’s or Q’s. I believe Gentile was recently found guilty but has appealed the verdict. I think AWX is just one of his troubles. If I missed something in the filings (which is certainly possible) let me know. Thanks.
The problem is Nalluri has to find someone to put pressure on Klingle. It is just very difficult when you have these A class and B class stock holdings. Plus there isn’t anything too alluring about the company. I guess you could argue that the real estate should have gained a lot in value, but Ohio is not the most exciting place. That being said I do own a few shares. But nothing will happen until Klingle or his family decide to sell the company or try to enhance shareholder value.
Take a look at Donegal Insurance a few years ago they were challenged on their A and B class structure. However, they would up settling with the investor and bought him out at a premium to rid themselves of the problem. The company continues to go nowhere, but at least pays a decent dividend.
Hopefully, we will wake up someday and Ron Klingle will surprise us. But, I am not holding my breath. 😉
Many thanks for your comment MoS! I agree with you - tough to see what can happen here. Maybe due to age sometime he will pass it on to heirs and something will happen to unlock value. But who knows. It is also totally understandable that from Klingle´s perspective, status quo is quite comfortable.
And since Nalluri has been there for some 20 years now, it doesn´t seem to be too much of a hassle for the board / Klingle. But one starts wondering when Nalluri keeps at it, keeping on adding and adding.
On another note on the company. Where you around during the Mintbroker-happening? Seems possible that AWX might win that case in court? But on the other hand, I guess it might be quite optimistic to expect any funds flowing in from the Bahamas (if I recall it correctly) - or what do you figure?
That was a good catch. I do recall it, but have never seen anything in the 10-K’s or Q’s. I believe Gentile was recently found guilty but has appealed the verdict. I think AWX is just one of his troubles. If I missed something in the filings (which is certainly possible) let me know. Thanks.
The problem is Nalluri has to find someone to put pressure on Klingle. It is just very difficult when you have these A class and B class stock holdings. Plus there isn’t anything too alluring about the company. I guess you could argue that the real estate should have gained a lot in value, but Ohio is not the most exciting place. That being said I do own a few shares. But nothing will happen until Klingle or his family decide to sell the company or try to enhance shareholder value.
Take a look at Donegal Insurance a few years ago they were challenged on their A and B class structure. However, they would up settling with the investor and bought him out at a premium to rid themselves of the problem. The company continues to go nowhere, but at least pays a decent dividend.
Hopefully, we will wake up someday and Ron Klingle will surprise us. But, I am not holding my breath. 😉
Many thanks for your comment MoS! I agree with you - tough to see what can happen here. Maybe due to age sometime he will pass it on to heirs and something will happen to unlock value. But who knows. It is also totally understandable that from Klingle´s perspective, status quo is quite comfortable.
And since Nalluri has been there for some 20 years now, it doesn´t seem to be too much of a hassle for the board / Klingle. But one starts wondering when Nalluri keeps at it, keeping on adding and adding.
On another note on the company. Where you around during the Mintbroker-happening? Seems possible that AWX might win that case in court? But on the other hand, I guess it might be quite optimistic to expect any funds flowing in from the Bahamas (if I recall it correctly) - or what do you figure?