Regal Partners Ltd V.RPL

RPL Asset Sales

[InvestorSuperfan]

My concern is that RPL makes distressed saies of good quality assets. The RPL NR dates April 15, 2013 states: "The Company confirms that its previously announced non-core asset disposition closed for net proceeds of $12.9 million prior to the end of the first quarter. Management continues to place significant focus on evaluating additional non-core asset dispositions as a continued commitment to prudently manage its balance sheet and reduce debt levels."  Which assets did they sell? Some Slave Point? Some Viking? Other? Why keep stockholders in the dark - they stated that the asset disposition closed, so why the secrecy? Further, sale of the Viking assets would be painful - they are good quality, though granted not as good as the SE Sask assets. If RPL is desperate to sell, do you really think a buyer is going to give them fair value in a sector (O&G) that is going through a tough time? Unless the life of the company depends on it, I would prefer RPLs sell their entire position at Slave Point (if they have not already done so.....again, anyone know....?), cut the dividend in it's entirety, and work out a debt reduction plan with the banks. I am quite sure that if the Viking is sold, RPL will not get fair value for it. I would like to see RPL develop these assets themselves. Establishing financial stability and asset development should be the top priorities. Even if the RPL share price is punished for discontinuing the entire dividend, there can be no takeover, hostile or otherwise, without shareholder approval, and I can't believe shareholders would want to bail out of assets like the ones RPL owns, especially if management presents a clear, honest plan to shareholders as to how they will move forward.