RE:RE:RE:News Out on RefinancingForaco was printing money in 2011-2012 with less rigs, between 70-80 million per year. Of course, they blowed it with acquisitions and capital expenditures, the good times were not suppose to end that abruptly. The godd thing : they might have learned their lesson this time.
The pick up in cash could be quite substancial also as utilisation rate as well as rates could increase substancially. Will be intersesting to see what happens when all the money raised and internal cash flows of miners find their way to the drillers.
BTW I also prefer Foraco to Geo : the most levered companies typically benefit the most at the beginining of an upswing.
If they get back to their historical high (why not) and maybe higher (this cycle was vicious so the rebound is typically higer), this could be a 3-4 bagger from this level.
I started buying in the .50 but still added yesterday and today.
GLTA