Husky Energy Inc. cumulative redeemable preferred T.HSE.PR.B

RE: my thoughts on today

[Gladtidings]

An excellent expose. You have brought up several salient points. Regarding the negative view of the recent share issues in preference to raising debt I surmise the following :-
(1)The share issue had a two-portion allocation - private and public with the former having a larger allocation. It is well served for someone connected to Li who wants in on a large block basis. It is not necessary a bad move. I look at it this way - someone with deep pockets obviously believe in the HSE story on the longer term and now is about the best time when shares have taken a thumping down for the last couple of years to take a stake.
(2)It is not a question of inability to raise cash whether through debt or equity because the Li name sells anywhere. I would not be surprised if this is a give and take arrangement between Li and his Chinese business connections.