Arcan Resources Ltd ARNBF

What's Up????

[bonjovi501]

Something is brewing and ARN is about to benifit as we had a big change around. I would not be surprised to see ARM taken out this coming week or month unless what we seen on Friday was none other then a short covering. Could this  be possible??

[value1]

so the stock falls from 7 to 1 and now there is a big change?  was it supposed to go to .50 cents? it bounced .25 cents from the all time low and something is brewing?

[bonjovi501]

As I said it could have been a short covering for all I know but when you see a jump as we did there is something going on. Hey I talked to a bunch of CPG guys and they say CPG is buying again as they have shut down their drilling for the last 30 days and to them that means CPG is buying. It makes sense to buy ARN as they own 20% already but they also might go after LEG as some of the CPG workers

[wordless]

That jump was likley a reaction to CPG's offering of units which shorts used to cover their positions that they opened after the operational update disappointed.  Why risk being short on a stock trading just over a buck, when CPG just raises a bunch of equity and everyone knows that CPG wants ARN and it would likley take a minium 300% premium to get a deal done.

[oilnvstr]

I'm not sure that it makes sense to for CPG to buy Arcan, since so much of the purchase price (60%) will have to be paid out in cash to pay out debt. CPG has a marked preference for trading shares for shares so as to retain cash for drilling. As a result the price CPG will only buy Arcan if they can get it for a steep discount to less leveraged companies currently on the block. Perhaps RPG

[cookster9]

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[cookster9]

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[cookster9]

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[cookster9]

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[HAPPY$]

I'll have to agree with cookster9. ARN is the perfect fit and now would be the perfect time for CPG to grab this at a discount. Even though ARN debt is more then it should be its still manageable for CPG with the 550mm cash they just raised. Should have enough left over to increase the drilling.

[wordless]

I'd be happy to take $3.50 today (Never thought I'd say that).  Rumour is that CPG was trying to buy them out over $7 back when they bougth their 20% stake int he Company but ARN management refused to accept it...  Hindsight is always 20/20 however.  I bet they feel dumb now.

[HAPPY$]

I heard the offer was below or around $5 but thats unconfirmed. 

[cookster9]

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[bonjovi501]

Nice pop again today and if CPG pulls the trigger and it is not ARN that they buy this will fall like a rock. I expect something before the end of the month as CPG workers say something is up and a buyout is coming.

[cookster9]

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[cookster9]

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[avonbob]

A voice of reason here considering the debt CPG has to assume they cannot be offering much of a premium to todays price sub 2.00 dollars is the best they can do...they have shareholders too and can't be over paying for corporate acquistions

[wordless]

ARN used that money mainly to build infrastructure that was needed at some point.  If ARN was a larger Company, it would have made sense for ARN to do it the way they did.  For a smaller Company like ARN, they should have done it slower... To a larger acquiring Company ala CPG, it saves them the trouble of spending their own money (be it cash flow or debt) of building the infrastructure