Bellatrix Exploration Ltd (Canada) BXEFF

Company will survive but dilution is a problem

[ngtraderng]

I was a shareholder on and off in the past and I decided to cut my losses and move my capital elsewhere. I think the company will survive and gas prices will recover in 1-3 years but the company has been diluting shareholders just to stay afloat. Dilution is normally fine if you get something out of it but in this case they are diluting at the worst possible time when the shareprice is at rock bottom and all they get out of it is a bit more time to stay alive.

23 million shares end of 2013

37 million shares end of 2014

39 million shares end of 2015

43 million shares end of 2016

50 million shares end of 2017

75 million shares now

Companies that have this pattern of dilution rarely end well for shareholders.

[ariesleaf]

This is mostly a gas play. keeping cost down paying dept and share buy back BXE should be ok. Will hold for now.

[oakesy]

Serial diluters shows a sign of bad management and no respect for share holders . All the while getting large salaries and compensation . They will be taken out at a huge discount far below recent share prices . Sick duck looking hoping for rescue . ie Trinidad Drilling .