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Vero Energy Inc T.VRO



TSX:VRO - Post by User

Comment by JohnJBondon Sep 14, 2012 11:20am
238 Views
Post# 20363416

RE: 2.66

RE: 2.66

Stripping away all the BS, I see the following facts.

 

A combined company with about 210 million shares.

 

If it were worth $3 per share, as suggested, then the value would be about $630 million

 

$630 million for 3900 flowing barrels.............just no way.   That would be about $160,000 per flowing barrel!

 

VRO is being valued at $80,000 per flowing barrel (using a bs 2200 production rate from months earlier in the year - today's production has to be 3000 boe ish per day).

 

Even if we use that grossly inflated $80,000 per flowing barrel and apply it to the 3900 barrels 2012 forcast exit number you get a total value of about  $312 million or $1.46 per share (and thats not until the end of the year).

 

As VRO is being converted into the new TORC on a one for one share basis..........your maximum value per VRO share is $1.46 on Jan 1/2013 (and remember thats using $80,000 per flowing barrel - which is a strong number - in reality, if new torc were trading in today's market, it would likely be at $40,000 ish per flowing barrel, which is $0.73 per VRO share)

 

This deal is great for TORC - it is daylight robbery for VRO's shareholders.


My guess is the VRO insider's are getting huge payoffs in the form of golden parachutes, and free shares/options in the new TORC.

 

Sincerely,

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