GREY:ISNAF - Post by User
Comment by
UberGeek67on May 09, 2013 8:38am
171 Views
Post# 21356144
RE: Fair price
RE: Fair price That is a good question. IMHO, the company states their NAV at $2 because that is what the financials and land holdings calc to.
This is a gas weighted stock, with almost no float. These two factors make this company trade far below NAV. Noone else would offer a 95% premium on the pre-offer stock price. This is a good deal all things considered. I also don't think a bump in the offer price is likely. From BAM's perspective they have made a very fair offer.
The ISN management has done a pretty good job keeping production flat on a shoestring budget. Take a look back three years ago, and look around now and see how many similar companies still even exist.
It seems the entire sector is hovering around 52 weeks lows. A 95% premium in this environment is pretty good.
Thanks.