Stockhouse.com uses cookies on this site. By continuing to use our service, you agree to our use of cookies. Cookies are used to offer you a better browsing experience and to analyze our traffic. We also use them to share usage information with our partners. See full details.
I Agree
×
Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Privacy Policy | Disclaimer

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Privacy Policy | Disclaimer
Please Try Again {{ error }}

Send my password

Return to Login
SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Lightstream Resources Ltd. LSTMF

Energy Oil & Gas E&P
"Lightstream Resources Ltd is engaged in the exploration and development of oil and natural gas in Western Canada. Its operating areas include Southeastern Saskatchewan, Central Alberta, and North-Central Alberta."


GREY:LSTMF - Post by User

Lightstream Resources Ltd.
Bullboard Posts
User Avatar Image
(0)
•••
Comment by naeden99on Oct 30, 2012 7:31pm
312 Views
Post# 20542027

RE: RE: RE: RE: RE: RE: This move by PBG is not cl

RE: RE: RE: RE: RE: RE: This move by PBG is not cl

It was a spread trade - they were buying the same number of PBG shares as they sold in PBN.  They were increasing their ownership not decreasing it.

 

It doesn't matter what price they spin it out at, the PBG shareholders will get shares of PBN and will realize any upside that occurs.

 

Everything PBG management has done has been perfectly rational and increased value for PBG shareholders.  

PBN share price will hopefully benefit from additional liquidity and the return of control to the marketplace (now no-one can block a takeover).   The precedent is PMG, which increased 57% in 3 months after spin-out. (notwithstanding the operational challenges PMG has faced more recently).

 

The issue right now is that its cheaper to by PBN buy buying PBG, which is sapping demand for PBN.  This  likely will not last long.

Bullboard Posts
Dealroom for high-potential pre-IPO opportunities