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Bellatrix Exploration Ltd (Canada) BXEFF

Bellatrix Exploration Ltd is a Canada-based oil and gas company, engaged in the exploration, acquisition, development, and production of oil and natural gas reserves in the provinces of Alberta, British Columbia, and Saskatchewan. It primarily focuses on developing its two core resource plays, the Cardium and the Notikewin/Falher intervals in Western Canada. The Notikewin/Falher in Alberta's deep basin boasts abundant, liquids-rich natural gas with compelling economics. The Cardium is a highly e


GREY:BXEFF - Post by User

Post by zebra2on Mar 29, 2019 12:54pm
196 Views
Post# 29555022

Dilution question

Dilution questionIf prior  to today's announcement  , shareholders held 100% of the company with 80.5 million shares outstanding ...and the market price was 54 cents per share..
Then basic math would indicate  the proposed new ownership of 16..5 % ownership would mean the equivalent stock value of the old shares should be now 9 cents..  ( ie 16.5 % of 54 cents)
Given the stock is trading at 40 cent level.. the market is pricing in a major benefit to this deal.
The devil will be in the details.    
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