RE:RE:Profit taking isn't surprisingYeah, I have to agree... I mean, the chances that BTE would be reckless enough to purchase properties at this time, are remotely 0. It would be a great time to buy properties, for sure, but BTE is not the one who would be buying now. They just don't have the financial flexibility or balance sheet for it, AT ALL!
I've been giving it a few days to see if any news came out, but doesn't look like anything will come out... I guess the lesson is to take Warren Kaplan's world with a grain of salt... His activism attempts are un-professional and amateurish at best, anyways.
Hendrick3 wrote: I would think the chances of BTE buying a heavy oil asset with their heavy debt levels is absolute zero. I don't think Peace River sold or not sold is a big concern for Obsidian. It's 4,000 barrels/ day of production that at current prices probably received around $18 netbacks which more than covers the interest on the incremental debt they carry it at if they don't sell. I seem to recall that the proposed same price of$100 million was about 4.5 x EBITDA which is an implicit rate of return of over 20%. The partner rejected the last deal so I would think OBE management have better ways to spend their time than disposing of PR.