OTCPK:ARNBF - Post by User
Comment by
hardeeharon Jun 24, 2014 10:17am
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Post# 22689013
RE:Down 6 cents...
RE:Down 6 cents...I think the market is digesting the restructuring and eventually will come around to the deal.
Who knows - Maybe it was Aspenleaf that consulted with Arcan on their well completions from last winter's drill program. And the stellar results is what brought this offer to the table.
As nlr2 stated, if Aspenleaf can replicate last winter's well results then it would be worth hanging on to Spinco as production would ramp up quickly under that scenario. The beauty of this deal is it provides access to capital for further growth. Spinco could easily fund their 12.5% of a $100 million, 20 well drill program that would bring their production over 1000 bbls/d.
This sell-off we are seeing this morning represents a buying opportunity IMO.