Alio Gold Inc. T.ALO

Gold up again

[Goldhound3]

ALO red again and looking like we might see .50 cents or lower.. So much for moving up once the PP closed..Sign why are people bailing

[fb454]

Even though the deal did close on time; it doesn`t mean that Cormark had buyers for all the stock. They are not a tier 1 investment bank. The stock went down to almost 1 dollar below the bought price. That`s a definitive sign that the underwriting was weak along with the syndicate. Perhaps Cormark wanted this highly profitable business for themselves and overpromised. They now have stock leftover

[Teatimenow]

hm...if that would be the case why was at least in partial the overallotment exercised.  they raised about 400k more though that. Does not make sense, if the Offering is not taken up in full. A recent case where (for totally different reasons) a PP did not close that well was Canabis Wheaton, they had a delay in closing then announced a increase, but then closed only the original amout. Well

[MisterB]

I agree.  I see an over allotment exercised.  I see closing on time and confirmation of total shares/warrants listed 2 days prior, which means the overallotment and exact numbers were known in advance. I see a current weak market for all Juniors and an adjustment being made by some analysts due to the increase in shares.  I see the dog days of summer and an opportunity. B

[fb454]

Mr. B. ; yes I do agree that the excess is giving us a buy opportunity. This particular selling is finite. I always appreciate your posts. Best of success.

[MisterB]

Hi FB, Just to clarify, I actually think the opportunity is based on the dog days of summer rather than the institutions selling "extra" shares of the bought deal.  There is no way (imho) that a firm, whether tier 1 or tier 2, would oversubscribe, then sell into the market the days following closure of the deal at a loss.  Selling in the days after the bought deal closed, in