RE:RE:SEC Filings for CatalystWorried is surely not the word. I 100% agree with you on his wanting to enhance FEC's value being good for us. But up until recently, myself and I am sure most other shareholders of FEC/CGX had no idea who Glassman was and that Glassman is the guy controlling Catalyst (75%+ ownership) as well as controlling our fate if you own FEC/CGX shares. I had thought it was de Alba, but he is but a Jr partner who is Chair of FEC and Co-Chair of CGX.
Glassman obviously had to approve FEC to stop paying a nice dividend and start share buybacks a few years ago. That appears to have done nothing to enhance FEC share value but it did allow Catalyst and their partner in several deals (Gramercy) to increase their % of FEC holdings to over 50% of the outstanding shares. Glassman surely approved the takeove of CGX and the drilling of 2 costly wells. Now that FEC controls something like 77% of CGX shares and over 90% of the concession, Glassman is obviously the guy calling the shots there as well.
The complete lack of news, with no on line presentations, no road shows, no interviews, no IR depts etc. for both companies is obviously part of the plan, Glassman and company has for FEC. They obviously are not planning a sale based on current share price. I happen to believe that Catalyst is deep in negociations to sell FEC in whole or in parts as his funds have not had a winner in a long time and they/he likely needs a nice cash infusion. As the investors in his funds have made complaints and filed lawsuits about losing large sums by investing in the Catlayst funds.
Catalyst's business model is to buy bankrupt or close assets for pennies on the dollar which they did when buying PRE and converting it to FEC, then building these assets and selling them for a nice profit. They bought the PRE assets from the bankrupcy court in 2015 and were able to write off over $5Bil in debt in the restructuring.
The curent market cap for FEC is less than 1BilU$, with clear signs and published reports of FEC being for sale, I highly doubt Glassman approves any sale of FEC for less than 1Bil. Without the Guyana Cap Ex and share buy backs, their appears to be little downside risk for FEC at these prices as I highly doubt Glassman approves any deal for FEC for less than multiples more than One $Bil. Any formula they use to sell FEC it is going to be a complicated sale and likely take more time than any of us want. In the meantime, without any promotion of the stock, there is nothing to push it up. It might get a bump when 3Q #'s are released as they should look good with no Guyana Cap Ex and no share buy backs.
What I am unclear on, what happens to the value of CGX shares if a FEC sale is announced prior to any well news? Any sale of FEC or Frontera Guyana surely will include the CGX shares and it likely will remain a subdiary of any new owner. I would assume Glassman's interest is the price paid for FEC and has little if any interest of what happens to the value of CGX shares as I see no way he profits from their share value. I have shifted most of my CGX shares into FEC shares to lower my risk. Just my less than two cents woth.
Here is an article from SA today, it gives an overall view of Colombia including the importance of the O and G sector and more
[url=https://https://www.globalxetfs.com/views-from-the-ground-colombia/]A visit to Colombia[/url]
https://www.globalxetfs.com/views-from-the-ground-colombia/