RE: RE: Another Bought Deal I was a little dismayed with announcement because it does slow down our SP and as a shareholder we always want upward movement but that's greed talking I guess.
Looking a little further into the BD, I think the company is playing it safe with their capital program and this cash gives them lots of time to keep drilling no matter what happens to the stock market, and or Euro problems.
TOL has a small float to begin with last time I checked so issuing another 7 million shares is not a big deal they will still be under 50 million at the end of the day which by most standards is still a very low Shares outstanding.
I won't add more shares at this point but if TOL dips on market pull backs, I will have the option of buying more under the issue price but looking at level 2 right now the offering brokerages have some big buy order around the issue price.
are they real purchase orders or just there for market perception but wither way, TOL will have the cash to keep drilling on their better performing plays and if these news wells all come in way above the type curve, then TOL is looking at big development programs in h2-2012 and all of 2013.
I guess I'm saying the SO is a good idea as it let's TOL contiunue unabated by anything the markets have to throw at them.
and as current shareholders this plateau will allow a continued shareholder turnover with new shareholders more concerned about future oil devleopment and produciton growth.
cheers and DYODD