FCHS - Still Alive, at Least Technically
I own a good number of shares of First Choice Healthcare Solutions (OTC: FCHS).
The company has been dark since Q1 2019.
However, through public data, I’ve confirmed that since then they have opened new locations in Florida, up in Cocoa Beach. They’re up to 8 locations, by my count. Expansion is positive.
Since they focus on elective surgery and physical therapy, I don’t need a 8-K to tell me that their business has been shut down for the past 6 weeks or so due to covid-19.
The company is now trading at about a $2m market cap - where they were trading at > $30m some years ago (granted, before the CEO was arrested for illegal stock promotion…), and > $10m before they went dark.
Today, I decided to try tracking the CEO down again. The website just lists one man: Phillip J. Keller.
I got ahold of (I think) Phillip’s father in Kentucky, who kindly took a message; Phillip called me back a few minutes later. We spoke for about 5 minutes. I asked - when is the next shareholder’s meeting? Is the company still operating? And can I inspect the records in person?
Phillip mentioned that there is a court case being decided Thursday in the Delaware chancery court that “relates to” the shareholder’s meeting, so he could not give an answer on that. He did confirm that as of Monday, 2020-05-17, their locations are operating again, with infection control measures in place. This is very positive - it’s hard to believe that any chain of 8+ medical centers can be worth less than $2.5m.
Through the Delaware Court website, so far I’ve only found references to two cases; one suit brought by Via Acquisition Corp in December 2019 and one brought by Steward Health Care in February 2020.
Neither mention any upcoming hearings. I won’t be adding to my position until after Thursday, but I see no reason to cut now.