GREY:TSTIF - Post by User
Post by
dant2on Oct 13, 2017 3:09pm
331 Views
Post# 26811519
the excerpt
the excerptfrom BNN earlier today should have included TOS as well. Quote "short and distort" has obviously been a profitable strategy for some investors and many stocks have been roiled as a result.
=========
The head of enforcement at the Ontario Securities Commission says his entire industry is wrestling with how to deal with short sellers. “We’re all struggling with the short-selling issue,” Jeff Kehoe told BNN in an interview. “Short selling by its very nature is not an evil. Short selling is a very useful tool ... [but] the ‘short and distort’ is a completely different animal.” His remarks come after a series of high-profile shorts against Canadian companies, including Home Capital Group and, most recently, Shopify.
========
Its a good thing that the OSC/ "entire industry" sees this as a real problem however if history is a guide don't hold your breath for meaningful regulations anytime soon. Target companies simply have work within this environment and fight for ongoing credibility and confidence with investors.
TOS is approaching maximum production capacity in Quebec and will soon need a new manufacturing facility, so perhaps they will retarget the Quebec facility for 80L production sometime in 2018? With potentially other products to follow.
It's unfortunate that TOS' reputation has been damaged by all this but I'm betting revenues will begin catching up with fundamentals in the next few quarters and the shorters will be gone. My info is dated but last count has 5.13M shares need to be covered?
GLTA