RE:RE:RE:RE:GAME IS OVER 2b. after 21 August 2019:
Now Canaccord has a significant percent of total shares, at least 25%, that they acquired at 6 cents per share. How they benefit from further decline?
First, let see how Canaccord is playing to hide its hands. The August 21 conversion is early week 34 in the graph below. Unlike "ananymous" and even Jitney, Canaccord had little selling activity since May. However suddenly they become active and started selling right after converted their debentures @6 cents per share.
Q1: you wrote: "The trades we see are retail trades. Cannacord, TD, Jitney and others represent a large group of retail investores. So we are not necessarily seeing what the institutional as an entity buys and sells. "
A1: Yes, but how from all big retail trades only these 3 are perfectly correlated with the price moves? This can not happen such a clean if they represent a large group of investors. As a comparision, on average investors from TD, RBC, Scotia, CIBC, BMO and Desjardins all were wrong over time.
Also keep in mind the perfect matching of Canaccord selling activity (graph) with the August 21 conversion. Not knowing what was going behind the doors nobody even can think they are the manipulators because they are losers here by selling below 6 cents.
Q2: Why they convereted at that price if had to sell at lower price?
A2:
Introduction: what they lose is very little copared to what they gained:
The etire sell volume by these 3 players in the last 14 months was ~83 million shares. Which ~45% is from the last 3 months. Keep in mind that not necessarily the entire volume is institutional. My estimation is that less than 50% was institutional. In another word they only utilized a small fraction of the total shares they own now.
Simple answer : Dump themarket to acqure more shares at lower price. Final goal is to obtain more than 50% of shares and take control of GLH. Ultimately they may want to privatize it.
The value of the company for who wants to own it is inherent into its performance independent of the share price. If bacause of manipulation the share price going down to 1 cent then it only means Canaccord can have it for cheaper. The lower the better. FYI, after long time today ananymous is in the buyers camp. However cares needed here as there are more convertible debentures and we need to review the holders to see the connections and their strategy.
All in all, I see 2 scenarios:
a) Stopping manipulation and a sharp reversal in the share price move.
A significant portion of Canaccord shares obtaind at 6 cents so the fair price should sit above this number. In fact, I think somewhere above 12 cents.
B) furthure pushing the price down to execute new conversions and acquire cheap shares and privatize it.
Clearly the first Scenario is more beneficial to Canaccord. But there is a big IF here: THEY BE ALLOWED TO CONTINUE THE DIRTY GAME.
