GREY:ANSBF - Post by User
Comment by
mohasaon Nov 28, 2012 1:10pm
110 Views
Post# 20655698
RE: RE: RE: RE: : RE: rights news Dave
RE: RE: RE: RE: : RE: rights news Dave it is probably better to sell shares now and buy them back starting next week.
I sold because of my analysis. My average price was $2.30. If I exercise, my average cost post rights exercise would have been $1.68. But I had gains that would have been lost! I asked myself, at what price can I acquire shares ex-rights before selling was not such a bright idea. For me that was $2.10. I decided to take the risk that ans would not trade that high and any acquisition below $2.10 would still be acceptable but the gains I tried to retain would be gone at that price. I don;t think it jumps 60 or 70 cents ex-rights. Of course, there is no certainty!
I sold to lock in my gaiins and take the risk that I can acquire diluted shares at a price below $2.10.
Note: The numbers I quote are now individualized and depend on each shareholder cost structure.