Atlas Technical Consultants Inc (ATCX) News

$ATCX: OOoommmmmmmmmmmmmmm............ now $12


And there you go !!!!!!!!!!!!!

BUYOUT Babyyy





GO $ATCX

Actually.

The Company is offering to all holders of its warrants the opportunity to receive 0.185 shares of Class A common stock in exchange for each outstanding warrant tendered by the holder and exchanged pursuant to the Offer. The Company’s Class A common stock and public warrants are listed on the Nasdaq Stock Market under the symbols “ATCX” and “ATCXW,” respectively. As of October 19, 2020, a total of 23,750,000 warrants were outstanding. Pursuant to the Offer, the Company is offering up to an aggregate of 4,393,750 shares of its Class A common stock in exchange for the warrants.

Concurrently with the Offer, the Company is also soliciting consents from holders of all outstanding warrants to amend the warrant agreement that governs all of the warrants to permit the Company to require that each public warrant that is outstanding upon the closing of the Offer be converted into 0.1665 shares of Class A common stock, which is a ratio 10% less than the exchange ratio applicable to the Offer (such amendment, the “Warrant Amendment”).

See the ATCX news?

I’m currently doing DD on DMS. Might be similar to ATCX. Warrants are $1.25 and the company seems to be trading at a discount to peers. Check it out. Have not completed my own DD yet but thought you might be interested.

I could see NFIN becoming similar to thus where the warrants are a great deal post merger.

Check out DPHC. Could run like SHLL potentially

Thanks. Careful with NFIN. It looks like it might drop post merger. GRAF is a winner.

Nice call on SHLL, too bad I just saw this lol. Our day will come, firmly believe it's just a matter of time on this one.

As far as SPACs I also like GRAF and NFIN which have warrants as well. GRAF transaction scheduled for Q3, and I believe NFIN is Q4 or Q1.

Awesome glad to hear. Yeah I agree completely. I’m adding with all of my extra cash at these levels. Have 12,300 warrants now. As soon as SHLL pops to $50 I will be lightening my load a little and adding here. Feeling really good about these.

Been swamped man but you bet I'm still here! Nice add!! Holding my bag of 35K, just waiting for the market to wake up and notice.

IMHO the market will realize the mispricing the one of these days... just a waiting game.

Don’t know if you are still here but I am up to 10,250 warrants now. Prob still add when the price is right. Added 1,000 today at $0.526

They cancelled the dilution.

Any word back from IR?

From yahoo.


I looked up the Russell requirements for minimum voting rights shares needed and it seems this offering will easily make ATCX eligible from what I can tell. They also said that $24 m of the proceeds will go to laying down debt which means $19m will be used for other purposes.

someone on yahoo loved the news. Here’s what they said.

ATCX has 5.7 million A shares outstanding prior to the issuance. This issuance NEARLY DOUBLES the number of shares outstanding. This is VERY good news. Volume picks up and institutions can get interested. Smaller institutions and mural funds can now put some money to work. ???? That will pull approximately $100m worth of A shares outstanding (assuming $9/share for example
Purposes) and helps net leverage ratio. All around great move.

Yeah I was thinking this as well. I just hope that they have a good explanation or that we are misunderstanding something.

2020 Q2 Earnings Presentation

https://s1.q4cdn.com/951448701/files/doc_financials/2020/q2/Atlas-Second-Quarter-2020-Earnings-Presentation-FINAL.pdf

They did just buy two companies and probably needed the cash and they did need to fix the share structure. I’m assuming this fixed the share structure.

Thanks. No I did not see an offering price.

Just emailed IR asking for clarity here. Will post response.

Yeah tbh I'll have to think on this... not thrilled at all at first glance.

Especially not after the strong day today...

Their IR rep told me specifically they wouldn't be selling more shares.

Might be time for another email their way.

I don't see an offering price here anywhere either do you?

What do you think? Annoying that they diluted so soon after they said they would not.

Well there is the dilution they said would not happen. 20% dilution. 6.25 million additional shares.

$ATCX still bullish and still looking to get to 10,000 warrants by October. Need some of my other plays to mature first. Would not mind getting up to 20,000 warrants or more if it stays cheap enough for long enough.

ATCX guidance reiterated. Acquiring company WesTest.

ATCX earnings today after market closes.

ATCX Earnings Monday after market closes.

https://finance.yahoo.com/news/atlas-technical-consultants-announces-agreement-201500349.html


Strengthens transportation testing, inspection and engineering capabilities in West Coast and Northeast -

AUSTIN, Texas, Aug. 03, 2020 (GLOBE NEWSWIRE) -- Atlas Technical Consultants, Inc. (Nasdaq: ATCX) (“Atlas” or the “Company”), a leading provider of professional testing, inspection, engineering, program management and consulting services, announced today that it has entered into a definitive agreement to acquire Alta Vista Solutions, Inc. (“Alta Vista”), a key provider of transportation-related testing and inspection services, headquartered in Oakland, California. Alta Vista has approximately 100 employees, operating out of four offices in California and one office in New York City, bringing a broad array of construction engineering, materials testing, inspection, quality management, asset management and infrastructure services.

L. Joe Boyer, Atlas’ Chief Executive Officer, said, “Alta Vista’s transportation focus, wide range of services and established presence in California and New York will provide an exceptional fit for Atlas. The ability to self-perform more work is a key part of our growth strategy. With our combined expertise and infrastructure focus, we will be able to more thoroughly service customers in two key regions where investment in transportation is an increasing priority for state and local governments. We look forward to welcome Alta Vista’s talented team to our rapidly growing company.”

Patrick Lowry, P.E., President of Alta Vista, stated, “Similar to Atlas, we have built our business through a reputation for high-quality work and delivering comprehensive services to customers. Atlas’ scale, resources and shared passion for excellence represent an exciting new chapter for our business. We look forward to continue providing our combined client base with innovative technical solutions.”

Mazen Wahbeh, PH.D., P.E., Executive Chairman of Alta Vista, added, “I am extremely proud of the company we have built together with our dedicated employees. Atlas fits squarely with our desire to quickly scale our business in both existing and new markets. We are very excited to become part of Atlas and to further build on our successful history.”

The transaction is expected to close in the third quarter of 2020. The terms of the acquisition were not disclosed.

ATCX $10.50 after hours with $9.58 bid. Any news?

Added some warrants at $0.40 today. At 7,000 warrants now.

Added some today. At 6500 warrants now.

lol and it is pretty funny it is just us on the board. Glad to have someone else here though. Your DD was awesome.

I'll buy em even if they are a dollar in October. I'm just hoping my other investments work out sooner than this one. hard to decide where to put my money though.

Personally, I hope they're too expensive by then lol - but given that it's just us on this board you may very well have time haha. Grab 'em quick:)

Added ATCXW today. Have 5300 warrants now. Want to accumulate 4700 more before the end of October.

Dang. Jealous of how many warrants you have. Gonna add a few more today.It never feels likeit is enough lol.

Yeah I think the market is finally (just barely) starting to notice we are even here. I have >30K warrants lol, wish I had been able to buy more around .40, but still loaded another few thousand yesterday. Someone sold me theirs at .49 yesterday, which I could've sold in a few minutes for 20% profit... SMH.

Will be holding this bag until Atlas hits mid teens before ANY of these see the light of day again.

ATCX hit $9 today. On the way back up. Warrants hit $0.65 today. Nice action.

I want to get to 10,000 ATCXW warrants before it takes off.

Hoping ATCX stays low for a while. I want SHLL to blow up first then use those profits to add a bunch here. This is a good long term play.

Preliminary Second Quarter 2020 Highlights:

Gross revenue in the range of $111 million to $113 million

Net Income of $2.0 million to $2.5 million

Adjusted EBITDA1 of $ 15.0 million to $15.5 million

Liquidity at the end of the quarter was approximately $39 million, an approximate 5% increase from the first quarter 2020 largely attributable to positive operating cash flow generation

Backlog increased to a new record level in excess of $620 million

Full Year 2020 Outlook:

Based on current backlog, gross revenue is expected to be in the range of $453 million to $468 million, with net revenue representing a higher percentage of gross revenue in 2020 compared to 2019

Adjusted EBITDA is anticipated to be in the range of $58 million to $64 million

The outlook reflects current visibility on the timing of work as stay-at-home orders are lifted, and compares to the Company’s previously suspended outlook for gross revenue and Adjusted EBITDA in the respective ranges of $505 million to $530 million and $74 million to $80 million issued prior to the impact of COVID-19 pandemic-related disruptions beyond the Company’s control

Thanks for sharing Wolfman. Awesome DD.

Fairly limited due to inability to share but here's a few more notes:
- Covid hasn't been adversely impacting the business, company has transitioned to remote working environment well
- Govt projects have been holding steady and even seeing acceleration in this environment
- Private projects a mixed bag, with some areas slowing while others doing well
- Current leverage sits around 3.3x, with covenant at 5.0x. They don't anticipate any risk of running into an issue here.
- Most of this is one time due to combination transaction, future acquisitions will be done through cash and equity, with an aim to pull leverage down over time
- Date of next earnings release should be announced within next 10 days
- Tone of analyst seemed positive about the future of the company

Find out anything else?

Awesome thanks sir

Confirmed that there will not be new shares issued but simply a conversion of Class B into Class A shares to raise the float. This is effectively the same as a company selling treasury stock, so this won't be dilutive.

No problem. Maybe you can get him to tell you if there will be dilution of shares to fix the voting rights issue between the class a and class b, or if it will just be conversion of shares. I feel like there will be dilution to fix the issue but who knows. I’ll think if there is anything else. Thanks for asking.

Thanks EM, I have a call with them Tuesday. Anything you forgot to ask that I should bring up?

Spoke with IR.

-He said they will do press releases to highlight big projects, and will likely make it a more regular thing going forward.
-They do plan on fixing the the voting rights issue between the Class A and Class B shares. And he would not elaborate but he said they would likely accomplish that by expanding the float between now and then.
-Their capital allocation policy is focused towards bringing down leverage and making acquisitions. The #1 priority is liquidity.
-Interesting fact he shared. Most of the time projects shared will be the total cost of the project, and Atlas stands to make about 8% of the total cost each project from testing, and consulting services.