Bluegreen Extends time for Diamond.

[vintner]

Originally Posted by schmidly

We just bought additional points because we love Bluegreen so much - for the high quality and value...... what will it mean if Bluegreen is bought out by Diamond? I can't help but fear that thigns will change for the worse.....

There has been lots of discussion on that very question. Problem is, at this point, no one really knows. Diamond has purchased another company in the past, some felt is was good for the owners of the timeshare that was purchased as they have new resorts to use. Others didn't like the purchase because maintenance fees were increased, but it sounds as the fees needed to be raised to upgrade the property.

I also am concerned. I have owned BG since 2002 and like what we have. I have thought about buying more points, or selling some of my points. I don't know what to do at this point. And no one else knows what will happen either. Sorry for the lack of an answer.

[dougp26364]

Originally Posted by Spence

Shades of 2002 Sunterra? but Cloobeck is a much better leader, manager, negotiator, financier.

Maybe. If he's about to bite off more than he can chew, then I'd say the jury is still out.

Anytime you push your financing to the limit you're putting yourself on thin ice. DRI hasn't gained a firm grip on the old Sunterra yet. Expanding when it doesn't appear that you're on firm ground might not be the right thing to do.

IMO, the smart thing to do would be to back off if they banks are telling you no. If you have to fight to get financing, there should be a big red light flashing before you eyes that this may not be the thing to do.

Right now I'd just say S. Cloobeck is more dynamic and personable. I think the jury is still out on the rest.

[BocaBum99]

The market is now betting heavily against the deal happening at $15/share. BXG Closed at $8.85/share.

Given the meltdown of the financial markets, it's hard to imagine that strategic premiums will be paid for companies with exposure to residential real estate.

One analyst today on CNBC said that there is money for deals with superior balance sheets. I don't think a combined DRI and Bluegreen fits the bill as such a beast.

I think this deal is in jeopardy due to financing.

[VA_Traveller]

Originally Posted by BocaBum99

The market is now betting heavily against the deal happening at $15/share. BXG Closed at $8.85/share.

Given the meltdown of the financial markets, it's hard to imagine that strategic premiums will be paid for companies with exposure to residential real estate.

One analyst today on CNBC said that there is money for deals with superior balance sheets. I don't think a combined DRI and Bluegreen fits the bill as such a beast.

I think this deal is in jeopardy due to financing.

It could also be in jeopardy due to $15 may be too high for BGX. BGX depends on new buyers and them getting credit. Its the rare client that walks in off the street and pays cash for Bluegreen's product. As funds to finance the timeshare's tightens, so will BG's bottom line.

[ace2000]

What's the latest update on this news? Can anyone help please?

TIA