About Us

Company Overview

WhiteSand Research, LLC is a minority owned full-service research firm that offers reorganization and special situations research to institutional investors, hedge funds, and investment firms. 

Investment Research: 

The firm was established in 2006 as a boutique research group, publishing news and proprietary research reports on companies facing Event-Driven Catalysts, including Mergers and Acquisitions, Corporate Buyback Situations, Turnarounds, Spin-Offs, Post-Bankruptcies and Capital Restructurings. As an idea-generating based research company, our team is opportunistic. We are completely independent and our coverage changes based on what the market yields. Our goal is to save our clients time and help them make money.

Our Philosophy: 

WhiteSand Research is a minority owned firm dedicated to the pursuit of independent creative thought and its application to the practice of investing. Publishing quality unbiased research newsletters has been the cornerstone of our clients’ investment process since the inception of the firm. Our goal is to put our clients first and uncover timely investment opportunities across a diverse range of industries. WhiteSand Research will continue to employ a value-oriented, event-driven investment strategy that seeks to capitalize on the most inefficient and attractive investment opportunities in the equity arena. 

 

Why Invest in Spin-Offs and Bankruptcies?

Investing in special situations (spin-offs & bankruptcies) can be very lucrative. The spin-offs and bankruptcies remain overlooked, underappreciated, and often misunderstood by investors. The transactions can be complex and the available information is often limited, which to an extent could explain the lack of enthusiasm. However, history suggests that investing in special situations offers one of the most compelling and consistent sources of outsized returns.

Spin-offs have been a profitable investment area in the long term for investors. A number of academic studies show that they historically have generated far better returns than the overall stock market.Some companies wish to get rid of a weak, low-margin and non-core division, thereby allowing the management to focus solely on the core business. Other companies seek to highlight the attributes of a desirable unit whose full value may not be reflected in the parent’s stock price. A spinoff can make it easier for the market to understand distinct businesses, and to value them more appropriately.

Bankruptcies present another great area to look for underlying value as the companies receive very little coverage and investors remain skeptical of the management’s ability to execute post-bankruptcy. When a company uses the bankruptcy process, it can emerge as a much stronger business, often with a very healthy and strong balance sheet. But most investors overlook this, and they tend to associate the stock with the old, troubled company. Therefore, these post-bankruptcy stocks are often over-looked and under-valued. Also, former creditors (now majority equity holders) often seek to monetize their new equity holdings which could present attractive entry points.