Something FishyBack in early November I noticed the PPA priced changed on the Nicaragua live power generating website. The Price went down to $110 per mwh, and the other geothermal plant Momotombo also went down by the same 18%. I thought this was odd and took it negatively since it was more than one producer going down by same amount. Red flags came up in my head that they had trouble paying producers especially since they were having trouble in 2019 before covid even happened.
So I decided to sell my shares before ex dividend date.
The Following two weeks after selling my shares volume doubled everyday pushing price up 30%.
Conclusion? A major institution or player built up a position.
As soon as volume dropped back down and position was built, Polaris announces the new PPA.
I believe Polaris witheld the announcement to let some " Friends get in first ", also known as insider trading.
I'm glad I got out but at the same time pissed about the missed gains.
Moving forward I want people to be aware that their most profitable asset that generates most of their revenue lost 18% PPA. Something to be aware of. Also they were only able to secure a 8.75% loan this year which is quite high. When they re-ammortize San Jacinto, I suspect the rate will also be high.