RE:RE:RE:RE:RE:RE:RE:No Chance to See Q1Aldan007 i like this back and fourth so lets keep it going...
so here goes...vii wasand is a premier cream of the crop idea, buisiness model, cash cow...
thiey are like the equivalent of a chevron here in canada...or were...and can return to that glory nd value if they had a bit more time...
this is like chevron getting bought by say, an exxon...arc is lower valued for a reason and its the condensate....they dont stand toe to toe in the slightest with vii...so if your the cpp..why do you sell now ? management aside the cpp would have seen vii hit their origional 16$ a share faster in this cycle than if vii was merged with arc...as a stand alone with oil and gas at or above where they are today for a year and a half vii would be at 20+$ a share as debt would be paid in big chunks...
so oil ang gas price aside and not running up further , vii has 6.65$ a share worth of debt...pay that off in two years and the company is at almost 16$ a share without oil and gas climbing furthr....now we have a combined 750million share float...say oil and gas go to 65/2.75$ for the next two years...how do you see anyt leverage with that many shares?
thats why its not a good deal....as the share price ises the dividend lowers...its allready not a great dividend ....so that cant be the reaosn hy they decided to throw in the towel