GREY:CHTYF - Post by User
Comment by
socalbobon Mar 14, 2012 11:22am
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Post# 19668160
RE: Closing March 15th:
RE: Closing March 15th: Ronin, the metrics look good as an acquisition for MQL shareholders going forward, but problem will be if the old Teague (PrivateCo) shareholders don't agree and simply were looking for an out of their positions. As much as 6.5 million shares (63% of the 10.4 million new shares)will be available to sell immediately and the remaining 4 million in 4 months. That is lots of share inventory to have to absorb if those guys just start dumping as many could have had money tied up in that PrivateCo for years and need it for something else. Kinda similar to the overhang of unhappy SkyWest shareholders looking to just get out.
MQL management is going to need to get some positive press out and build some the case for these shareholders to stay or this new large share may be a serious drag on the stock for months. So, yes very positive acquisition for the company, but stock price may not reflect that for quite some time, and could get a little ugly in the short term JMHO