Longview Oil Corp LGVWF

Difficult Situation

[privateinvester]

It will be difficult for SGY to justify issuing shares for the balance of LNV shares because their cost of capital is around 9%. They would be better to offer cash, but doubt they will want to offer more than the $4.45 they recently paid. LNV shareholders need to hope for another suitor...best scenario would be a wealthy new CEO who could take out SGY's block and strive to grow the co. First time poster..just my thoughts.

[Seppelt]

Yes, long term SGY may be better off paying cash or a combination of cash and shares. They can raise capital later when their shares rebound. In any case, $4.45 is not enough. The way the market trades, it's 1 LNV share for 0.9 SGY. I hope SGY will not wait for too long and will make an offer in early Q2 so that they can include the acquired assets in their plans for the

[jd43xl]

It is taking too long. They had a deal on the table, so it looks like SGY may walk. Then what?