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Step Energy Services Ltd T.STE


Primary Symbol: T.STEP Alternate Symbol(s):  SNVVF

STEP Energy Services Ltd. is a Canada-based energy services company. The Company is engaged in providing coiled tubing, fluid and nitrogen pumping and hydraulic fracturing solutions. The Company’s segments include Canadian Operations and the United States Operations segments. It delivers completion and stimulation services to exploration and production (E&P) companies in Canada and the United States. The Company’s Canadian services are focused on the Western Canadian Sedimentary Basin (WCSB), while in the United States, its fracturing services are focused on the Permian basin and its coiled tubing services are focused on the Permian and Eagle Ford in Texas, the Uinta-Piceance, and Niobrara-DJ basins in Colorado and the Bakken in North Dakota.


TSX:STEP - Post by User

Bullboard Posts
Post by 99921on Apr 05, 2006 12:30pm
183 Views
Post# 10626004

Share Price

Share PriceFortunately I have no financial interest in STE, the new or the old. However, I have been following this circus for some time as an interested observer. One question that I have not seen asked, here or at Bill Cara's site, concerns the pricing of the new shares when they started trading on April 3. If they were issued at $5.50 and almost immediately shot up to the $24 level does that not indicate that the competence of the present board of directors and their advisors should be called into question? Shouldn't the company have been asking, and receiving, something in the order of at least $15.50 for the new shares as they were sold out of the company's treasury? If the market was willing to pay $24 then $15.50 would seem to be a realistic asking price for the company. Based on 27 million shares that would have meant putting $270 million into the company's treasury rather than into the hands of the new management and the others who paid $5.50. It seems analagous to selling one's house for $50,000 and then learning that the buyer resold it for $250,000 two days later.
Bullboard Posts