Post by
MVargas on May 22, 2024 6:08pm
Another big jump in outstanding shorts
More than 2.4 million shares shorted in first half of May, bringing the total to 6.2 million. Throughout 2023, the total shorts o/s was typically well under 1 million.
It is incomprehensible to me why anyone would be shorting KRR shares now when they have to be covered in under 2 months when the shares have to be converted to WGX.AX shares. The borrowed shares have to be returned to their owners.
This may partial explain why the value of KRR shares continues to lag the equivalent value of WGX shares post-merger.
Last night WGX closed at A$2.31 which equates to a KRR share price of C$5.91 which excludes any consideration for shares in SpinCo.
Short covering in the next 2 months should give the share price a boost.