PP and Share price I looked at the plan documents of the private placement and one must wonder which is more lucrative. Given that the price of PP is 0.50, and the current price below 0.50, an investor can really buy off the market at 45 cents (hypothetically speaking) instead of buying at 0.50. Sure there are warrants that can be exercised at 0.75 cents, but if the current market price stays quite below 0.50 then technically one can just buy shares off the market. I guess my point is that the PP is not attractive to a lot of investors because the market price is low enough to buy @ say 45 cents or less. I still haven't decided if i want to invest some $ in the PP @ 50 cents or if i just keep buying at market. Unless the average price hovers around 49 and 51 cents, its hard to find 50 cents attractive.
Having said that, I've been investing in this and will continue to do so because of the potential. I bought again today at 48 cents and really if it drops below 40 mark tomorrow then i will just double/triple my position and reduce my avg cost price.
I've noticed on several stocks that usually when the market is ready to buy, the speculators "Jitney" and other punies come along to short it and start pushing it down (by far not the first company i have seen "Jitney" pushing stock down. In my opinion unless and until there is a ban on 'artifical manipulation of stock', these tiny traders will make sure real investors aren't attracted to companies with strong potential. If shorting was taken out a lot of these puney traders will be out for good and we can have 'real' market trading with lot of these companies able to enhance shareholder value.
Either way, if it dips further tomorrow I will just buy more so thankfully i'm not worried. However, I'm still a bit undecided if i want to partake in the PP. Just my two cents.