RE:RE:RE:National taken out @ $ 9.33. New high ComingThe speculative argument for an asset acquisition and equity issue:
1) Insiders have not bought stock since January, a very unusual behaviour for Paul and the Board that is indicative of a black out period.
2) Blackouts are imposed on insiders whenever the company has unreleased information that would be deemed to have a material effect on stock prices, such as an acquisition, divestiture, equity issue, etc.
3) The announced desire to reinstate a dividend - in the past Paul has supported the dividend model through acquisition of new production/cashflow
4) Very speculative, but the behaviour of Nat Bank selling into the rally caused by their analyst's increased rating and target price could have been a short sell that will be offset by their portion of a bought deal equity issue.
5) They do not have cash on hand, so they either use shares or raise cash to support an asset acquisition.
6) If they are to raise cash, the equity market looks to be better than taking on additional debt.
So there you have it, very speculative but the tealeaves do align.
Happy Easter.