Post by
radcat on Jul 02, 2021 2:40pm
The Deal
With 379.19 million shares outstanding, how many shares outstanding will we have after this deal closes since this will be managements method of payment? Another 200 million shares? This dilution will be a setback for any investor thinking we will have the dividend reinstated. Forget the 10 cents divi that was touted being raised to 12 cents. We will be fortunate to see 1 cent again. Surge would be better off drilling what they have rather than diluting shareholders. Not like there is a lack of drilling prospects at SGY.
Comment by
radcat on Jul 02, 2021 2:59pm
Calculated as $85 million divided by approximately 608 million pro forma basic shares. Justin Trudeau and Chrystia Freeland must be Paul's financial advisors. More debt, more, more, more. You'd think SGY would learn a valuable lesson and get the eff out of debt. So they dilute instead. Don't buy what you can't afford. I guess I'm old school.
Comment by
ariesleaf on Jul 02, 2021 3:26pm
I agree with you. Don't sell assets you have unless the full amount is not put on debt and don't take on new debt if you can't pay just too water down your stock. Now here is the real B.S. Other's on here would say the Banks made Management sell the Assets or face BANKRUPTCY THAT WAS FAKE.
Comment by
halkirkbob on Jul 02, 2021 3:57pm
Exactly.Why would the banks make you sell the core. Wouldn't they recommend getting rid of non core 1st and see what happens.
Comment by
radcat on Jul 02, 2021 4:03pm
They don't call them Banksters for nothing!
Comment by
Grandcentral on Jul 02, 2021 4:11pm
Right you are, and they call what's happening right now "a turn around market" - the longer the string on a yo-yo, the longer the play.
Comment by
halkirkbob on Jul 02, 2021 3:07pm
Exactly, if they have 750 drill locations then why take on debt? Would they have better off not getting rid of the core areas.