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PPLUS Trust Series GSC-2 V.PYT


Primary Symbol: PYT



NYSE:PYT - Post by User

Bullboard Posts
Post by cat2caton Dec 11, 2000 6:57pm
134 Views
Post# 2970680

private placement?

private placement?I personally don't think that a pp is likely for two reasons. The first is that junior stocks are out of favor. Money for CDNX listed Companies is getting harder to find. Just look at the spate of nr's regarding canceled pp's in the last few months. Just today I was notified of another one, E-phoria. This means that a pp would have to be done at a premium discount to the current share value for any investor to take such a risk. There has to be a SIGNIFICANT upside for anyone to lay out a million bucks or so. Does Mike and Co. want to see Pyng de-valued to the $1.00 level? (my opinion on the pp price). I don't think so. Second, a further dilution may mean that Mike would no longer have control of Pyng, less than 50%. That would make his 'baby' vulnerable to a hostile takeover. That is exactly what happened to Randy Turner at Winspear. Consequently, one of the hottest diamond plays in the world was lost to DeBeers at a fire sale price. I firmly believe that Pyng will make the transition to production and profitability with the money they have available to them now. Cat.
Bullboard Posts