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Big Banc Split Corp T.BNK

Alternate Symbol(s):  T.BNK.PR.A

The investment objectives for the Preferred Shares are to provide their holders with fixed cumulative preferential monthly cash distributions in the amount of $0.05 per Preferred Share ($0.60 per annum or 6.0% per annum on the issue price of $10.00 per Preferred Share) until November 30, 2023 (the Maturity Date) and to return the original issue price of $10.00 to holders on the Maturity Date. The Company will invest on an approximately equally-weighted basis in Portfolio Shares of the following publicly traded Canadian banks: Bank of Montreal; Canadian Imperial Bank of Commerce; National Bank of Canada; Royal Bank of Canada; The Bank of Nova Scotia; and The Toronto-Dominion Bank. The Portfolio will generally be rebalanced on a quarterly basis, starting on September 30, 2020, so that as soon as practicable after each calendar quarter the Portfolio Shares will be held on an approximately equal weight basis.


TSX:BNK - Post by User

Bullboard Posts
Comment by rehsifylfon Sep 22, 2011 12:57pm
353 Views
Post# 19072459

RE: From $10 all the way to ??

RE: From $10 all the way to ??When a stock has dropped more than 50% in six months, while short position has gone from a small number to more than 28M shares - that is a fair indication that bad news is coming.

So - jump on showtime if you wish, but - there are strong indications that they have not fixed the problems and that perhaps the problems affect long term costs relating to getting the OOIP out of the ground.

That said, if I was short, i think I might take this op to close out some of the short position because there are three ellements of risk w.r.t shorters here.

First is that thermal works as advertised and increases recevoery to the high 30% number.  That won't happen for some time, but you can't close out 28M shares quickly.  Second is that they exit the quarter with a good number (even is the average number is poor) and the market looks  forwards, not backwards.  Third is that someone puts an offer in.  The poison pill somewhat the last one for a hostile takeover, but for a board supported takeover, no issues.  Would be tough for the board not to support an offer at $6 right now!

For that reason - and against my better judgement, I did buy some below $4 today.
Bullboard Posts