PINL:NEPTF - Post by User
Comment by
gwrbion Jun 02, 2010 8:06am
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Post# 17149433
Financing ???
Financing ???Scanner, you can't buy 7M shares at $1.70. You can buy 100 shares at a time. NTB is so illiquid that it is almost as hard to buy a large block as it is to sell a large block. But the 100 share guys can trade all day long.
Porter Airlines deferred their stock issurance until market conditions improve. Maybe NTB will as well.
Interesting that notwithstanding the continuing global funk, NTB is trading about 15-20% below its last six month average. Which is the same as the implied dilution factor of issuing 7M new shares, with a current 40M share float.
Although the dilution discount would then imply the market is not confident the company will create value with the $15M raised. Which is ludicrous.
My guess is the stock issuance will go through at a lower price (say $1.75), but with a smaller issuance (say 3.5M shares and $6M raised).
Keep the ball rolling, and come back next year when the market is stronger and NTB is trading higher.