OTCPK:PDPYF - Post by User
Comment by
roscoe74on Sep 16, 2020 6:49pm
140 Views
Post# 31571865
RE:RE:RE:RE:Investor Help
RE:RE:RE:RE:Investor HelpThe lack of other offers or should I say lack of any other offer is not related to asset value but to the sheer number of distressed assets about to become available and the lack of buying power available. The few entities that have the wherewithall to buy can afford to be selective.Why bid up Pony when a better deal will come along next week with less buyers and increasingly desperate sellers.
The buyers like TOU will cherrypick tuck-in assets that, in normal circumstance, would not be for sale, leaving the corporate dross for the sheriff.
There is still a great amount of confirmation bias in Montney investors about rising prices and better days. China has filled storage capacity during the price collapse, Japanese LNG is at $US 4.68, Euro prices are not holding firm due to oversupply and US power generation will switch back to coal in the event of higher sustained gas pricing.
It looks very much like the day of the builder is over and the day of the consolidator is upon us.