High Insider Onwership (~50%) & GOLDMAN SACHS on this The new entity, Prairie Provident, has three oily core plays (Princess, Evi's waterfloods and Wheatland) with high IRRs even at current prices. It has also several non-core producing assets to sell and raise additional cash, if needed. See slide 19 of the new presentation below.
Before the merger, AEI's insiders owned 26%. See AEI's presentation below.
Before the merger, Goldmand Sachs (yes you read it right, this is Goldman Sachs) was the majority owner (>50%) of Lone Pine. Actually, Lone Pine went broke in Sep 2013 because of its high debt that was primarily owned by a Goldman Sachs' subsidiary. This is how Goldman Sachs ended up being Lone Pine's majority owner. Goldman Sachs, the creditor, hired Tim Granger in April 2013 to turn things around, but it was too late. Nobody could turn things around in 4 months because Lone Pine had a ton of debt, so it filed for bankruptcy in Sep 2013.
Proforma the merger, AEI's insiders and Goldman Sachs together own about 50% of the new entity named Prairie Provident.
As a result, the insiders' interests are fully aligned with shareholders.
According also to the latest presentation below, this new entity doesn't have any debt problems because it has very low leverage (less than 1 times).
According also to the latest presentation below, bank debt is just $5 million on $55 million credit facility, while the annualized CF is $24 million based on Q4 2016 CF of $6 million.
That should be expected, given that AEI was debt-free when the merger was announced.
The facts:
and this one:
However, the resident basher(s) is free to post his myth, his lies and his confusion. We have democracy. Also, they don't need to post any links to support their allegations. They can allege whatever comes to their heads 24/7.