Re-post from different forum by "slingbuck" (Wed
Post# of 61
Posted On: 02/10/2016 4:31:15 PM
Re-post from different forum by "slingbuck" (Wednesday, 02/10/16 12:11:05 PM)
addressing the worries that current common shares could become worthless (which in my opinion, too, won't happen but that its rather a bargain price):
I see this as good for current shares. I also see the price action since Jan 1 as good. I want to remind everyone that if the dip has been wanting to acquire anr on the cheap the whole time that they have also been watching the current stock price.
Cost of issuing new stock will be 5-20 % of 500 mil. Lets be conservative and use 5% and the $500 mil numbers. That would cost the new owners 25,000,000 just to issue new stock! Slow down and think about it................
Or they could buy up shares they want to own for themselves at the current stock's price. If you could get everyone to sell all their shares for 2 cents a share that is a total cost of 4.5 million. Remember.......they don't want to own all the shares..............they want market cap once they are out of bk.
They (insiders) would also want the shares they purchased over the past few months to zoom north.
Why issue new stock with current share prices?
The dip stated, "we do not anticipate any equity being leftover for the share holders". Sounds a lot like Bill Murray's "I'm not a plastic explosive or anything." line caddyshack.
If the dip are as cagey as many of us think I would bet they are even more cagey than any of us can imagine.
This is as much gut as anything.........the whole thing looks and feels like a future win for people who have been buying since bk started.
Also, remember that a month after bk a new insider, vp of sales, was given a very current share price driven compensation package that slowly vests over the next FIVE years.
I could be completely wrong........but so could all the doom and gloom guys. If I am right that would explain the price action/volume over the past two weeks. Running outta sellers at these prices but big cash comes in whenever is drops below .015
I could be completely wrong.............just sharing the forest I see.
addressing the worries that current common shares could become worthless (which in my opinion, too, won't happen but that its rather a bargain price):
I see this as good for current shares. I also see the price action since Jan 1 as good. I want to remind everyone that if the dip has been wanting to acquire anr on the cheap the whole time that they have also been watching the current stock price.
Cost of issuing new stock will be 5-20 % of 500 mil. Lets be conservative and use 5% and the $500 mil numbers. That would cost the new owners 25,000,000 just to issue new stock! Slow down and think about it................
Or they could buy up shares they want to own for themselves at the current stock's price. If you could get everyone to sell all their shares for 2 cents a share that is a total cost of 4.5 million. Remember.......they don't want to own all the shares..............they want market cap once they are out of bk.
They (insiders) would also want the shares they purchased over the past few months to zoom north.
Why issue new stock with current share prices?
The dip stated, "we do not anticipate any equity being leftover for the share holders". Sounds a lot like Bill Murray's "I'm not a plastic explosive or anything." line caddyshack.
If the dip are as cagey as many of us think I would bet they are even more cagey than any of us can imagine.
This is as much gut as anything.........the whole thing looks and feels like a future win for people who have been buying since bk started.
Also, remember that a month after bk a new insider, vp of sales, was given a very current share price driven compensation package that slowly vests over the next FIVE years.
I could be completely wrong........but so could all the doom and gloom guys. If I am right that would explain the price action/volume over the past two weeks. Running outta sellers at these prices but big cash comes in whenever is drops below .015
I could be completely wrong.............just sharing the forest I see.
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