RE: Bashing Your RMS stock will soon be PHX stock, hopefully the takeover isnt too hostile and you retain some share value.
The writing is on the wall islandbrook.....selling 10 million shares at $0.18/share is a desperation move, not a strategy move.....The word in the field now is that nobody wants this system one their rigs anymore. RMS is DONE in Canada.
They are faced with a 1/2 day rate everywhere else, sharing the other 1/2 with Phoenix.
They need 60 rigs in Canada to cover operational costs of a bloated staff/income ratio of over 60%. Thats insane!! Most business's operate between 25%-35%. Do the math islandbrook. They need at least 120 international rigs to break even now...they arent even in the same timezone as that number.
Interesting point came up the other day. All these stock transactions were said to have been to raise capital for equipment and infrastructure....funny, cause the number of rigs they have equipment on remains relatively the same. Where is this capital going?????....To cover operating expenses in my guess.
If they had any business smarts they would have sales strategies that focus in the procurement and executive levels of oil companies, not hire pavement stompers to push it to the drill supervisors wo ultimately have to sell it uphill.
This stock should be at $5.00....not $0.20