Bellatrix Exploration Ltd (Canada) BXEFF

$110M Less Debt is Worth $2.68/Share

[RichyRich$]

Notice the Market Cap now is the same as before consolidation when at $.50. We went from Total Shares Outstanding 81 Million when at $.50/share. Now 41 Million Shares at $1.00/share. So in your mind... look at todays share price cut in half if comparing the share price before consolidation. So right now... pretend we did not consolidate. 81 Million Shares Outstanding at $.50. If debt of $110 Million disappeared. $110,000,000 81,000,000 Total shares = $1.36/share value of that less debt. So back in March if they said $110 Million of debt just magically disappeared... the stock would have jumped by $1.36 from $.50. Up to $1.86/share. Now comparing apples to apples... we have 41 Million Shares Outstanding. So we are at $1.00/share... but the market cap the same around $40 Million. So take the value of $110M less debt in post-consolidation numbers. $110,000,000 less debt 41,000,000 Total Shares Outstanding = $2.68/share. So the value of that less debt should add $2.68/share to the current $1.00/share. We should be at $3.68//share. And we still have the same crazy low .06 Price to Book Ratio! So the bottom line is this: Pre Consolidation: $.50/share + $1.36/share ($110M Less Debt Value) = $1.86/share. POST Consolidation: $1.00/share + $2.68/share ($110M Less Debt Value) = $3.68/share. The bottom line is that the value of the $110 Million Less Debt mathematically should have the share price 3.7 X Higher. I just showed the two examples to show you before and after consolidation. The market cap is now the same as before and double share price to make up for half total shares Outstanding as before. So just picture $1.00/share now as $.50/share before and news broke out that we magically had $110 Million less debt. Mathematical investors would have started buying up and rallied it 3.7 X from $.50/share to $1.86/share. In post consolidation from $1.00/share to $3.68/share. Comparing apples to apples. I hope that makes sense to you guys! We should be 3.7 X higher given the value of $110 Million less debt! And that doesn't even consider the $12 Million/year in less interest which adds to operating cash flow. And same attractive .06 Price to Book! This was totally a Fear Drop. Not from Fundamentals and Value. Warren Buffett would be buying this type of thing up. Also look at the buyout value. $338 Million Debt now + $40 Million Market Cap. If a buyer would buy Bellatrix out for more than $378 Million right now... we would be in profit. If we got bought out for $418 Million we would double our money. If we got bought out for $458 Million we would triple our share price. If we got bought out for $498 Million we would Quadruple in share price. Is Bellatrix worth $500 Million in a buyout with all their exploration land and high book value. That's the way the banks look at it... so they're no worried to have ownership. They see potential to make money.