Whats next for Blue Sky?

So I was thinking about the current market cap, the business and the future risks. While they do have a number of ok/good investments, there is a LOT of terrible products sitting there (Private Equity I'm looking at you). So the underlying business will have some value to somebody at a price.

However as I crystal ball this company and look to its future, I feel that there are still a number of issues that have not been addressed and need to be for the company to re-gain any credibility. These include:

1. Draw a line in the sand - old vs new
They need to really draw a line in the sand and call out the issues of the past. Saying things like, people didn't understand our accounting, is just passing the buck. Call it out, "Yes, there was a problem in the process of valuations and under my management, this will not happen" or something to the effect.

2. Stop bleeding money.
They have burnt thru something like $20mil of cash in the last 6 weeks or something. Based on this burn rate, we wont even make the annual report before they are out of cash. I know that they are buying stakes and seeding funds, but damn, seriously how about we get everything cleaned up first.

3. New Capital.
The new capital issue must be addressed soon. Based on the current metrics the company needs more capital - and SOON. Who is going to roll up and throw in $50 million to a company with a market cap of $130mil. The only real path I can see forward is a new shareholder, who then provides a credit facility, but that will carry massive risk to shareholders.

Based on the above, I don't see a world where in the next 12 months this doesn't sink to below $1.30 at which point I can see somebody having a serious look at trying to get on the substantial shareholder list and pushing some weight around. The turning point for this share will either be an increase in the holding of substance by a major holder or a new major holder.

Watch this space.