RE:Smacked down today?Eric Sprott (through 2176423 Ontario Ltd) is selling 18 million shares in a secondary offering at market conditions. Brokers announced the estimated price to be between 2 and 2.50 per share. Looks like someone wants the price to be set as close to $2 as possible.
Sprott Inc. will also particpate by purchasing and cancelling 5 million shares at the offering price.
And the Sprott Employee Profit Sharing Plan will purchase 7.5 million shares.
Even some of the great traders sometimes have poor timing. Eric originally took his company public at $10 per share. Looks like he should have sold more of his shares along the way. Eric owns approx 25% of the company. After completion of the secondary offering, his stake will drop to under 13%.
Although the offering is indicated as close on Scotia, I have not seen a settlement price.