Obsidian Energy Ltd T.OBE

Deals....

[kavern23]

I wonder what OBE does next for deals now that BNE is off the table....

One thing that would make sense...but deals are so tough to get agreements...would be a land swap/trade with Inplay.

I don't think buying all of IPO and the premium required would work for OBE...and be acretive...

But this scenario would probably work for all parties   OBE swaps some Pembina land near IPO new Pembina core plus cash for all of IPO willy green assets.

IPO would be left with capital which they need for drilling  and more opportunties in Pembina which they are focusing on after sucess.  OBE owns the land east and north of IPO new drilling sucess in Pembina.

OBE further takes contol of Willy...and can drill wells at 100%

Time will  tell if anything happens but deals should eventually happen.

[Chris007]

Obviously, as the price of crude continues to run up, the less likely companies are willing to accept lowball or even no-premium takeovers. That being said, companies that do want to pursue m&a should do so cautiously and with discipline, so as not to overpay for assets. Generally speaking, overly generous deals/over paying for assets, usually does not work out well for the shareholders of

[kavern23]

I agree Chris but that is why I am saying a land swap/trade of assets.... Companies want to drill and have 100% control of land I think majority of IPO's 100% interest stuff in Willy has been drilled already. The rest of IPO's willy land...like around at least 70% is IPO/OBE (together) and like other 30% is IPO/Entrada. OBE has leverage to wait and continue to drill 100% own wells

[Hendrick3]

I think acquiring IPO outright is the right move. They are still deeply discounted to their reserve value but more importantly you would hopefully get Doug Bartole to run the combined entity. Loukas has been a wonderful negotiator on financing and leases but Doug is a gifted operational CEO which is probably where OBE's future resides. They could pick up IPO on a three for one share offer with

[Backinblack1000]

This post has been removed in accordance with Community Policy

[BrownDog5340]

I own both.  I would be in favor of it.  OBE needs Bartole.

[kavern23]

Even the newer OBE shareholders like me...I am not interested in selling a single share until maybe 5 bucks I would sell 10 percent of my holdings.  I may raise that even. lol, I think alot of us are quite stubborn kinda like YGR shareholders. Probably hard to get a stake at the level Eric wants. I spent quite abit of time on OBE...even though very credible and intelligent posters like

[kavern23]

Acquiring IPO outright would be terrible for OBE shareholders..unless the deal was like 6 inplay for every OBE.  Obe should wait until end of 2022 to even think about it. Problem with buying IPO right now is taking on the 80M in total debt that IPO has..  This would prevent OBE from paying a divy in near future.  Without buying IPO...OBE realistically can pay a divy in 2021...at