GREY:WFREF - Post by User
Comment by
PruneFaceon Apr 09, 2014 9:02pm
399 Views
Post# 22432994
RE:RE:Damm thought a buyout was in the cards
RE:RE:Damm thought a buyout was in the cardsI bought shares in this company a few years back when it was West Fire and have traded in and out a couple of times. Still hold a 'core' position. I understand from my advisor that this placement is closed. I also requested some shares as soon as I saw the NR but who knows how many I will get. I like the 8.24 % yield at the $5.10 issue price. It should be sustainable although I wonder how much growth the company will manage vs just being a yield generator. In most cases like this, when the SP runs and then a deal/financing is announced, there is a pullback to around the issue price. One exception that I participated in was the recent BTE acquisition of Aurora and placement at $38.90, but the SP closed the previous day at more or less the issue price. The SP took off from that Feb 10 issue price pretty well as soon as it was announced, bringing the yield down from 7.4% to 6.3% to date. It would be nice if LRE could do something similar.