RE:Back Down We GoJohnnyUtah16 wrote: I don't think they mentioned the size of blocks they'll be buying but if they are considerable each day we should see some insider buying chasers interested in the stock.
they are limited as follows:
"other than block purchases allowable under the TSX rules, purchases will be subject to a daily restriction of 103,902 Common Shares, being 25% of the average daily trading volume for the preceding six months" the key here is the block trade statement. I suspect most of these trades will be done through block trades - pre arranged trades negotiated with investments banks which are at the current market Bid/Ask or anywhere in between.
the company can buy back up to 7,120,185 shares (10% of float) so if the stock price remains depressed for the next few weeks (which it likely will) management could deploy some big cash to buy back a large portion of the 7M available to repurchase.
this also leaves the stock open to some manipulation in the next week and a half - ie. if an investment bank wants to accumulate low and then flip a big block back to the company for an easy profit.