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Bullboard - Stock Discussion Forum ARPETROL LTD V.RPT

"ArPetrol Ltd is engaged in the exploration for and development and production of oil & natural gas, and also provides natural gas processing services for third parties in Argentina."

TSXV:RPT - Post Discussion

ARPETROL LTD > NAPKIN CALCULATION
View:
Post by avispa on May 30, 2014 3:01am

NAPKIN CALCULATION

After the 25:1 share roll back the SP will be worth $1 as follows --- PV (T ASSETS minus T LIAB) is $23M --- After roll back, SHARES OUTSTANDUNG will be approx. 23M --- Divide the two figures --- QUESTION: Will the SP just after roll back be $0.5? -- Calculated as current SP ($0.02) times 25? --- If so anyone currently buying at $0.015 gets a good deal!!!
Comment by avispa on May 30, 2014 3:05am
QUESTION: Will the SP just after roll back be $0.5? -- Calculated as current SP ($0.02) times 25? --- If so anyone currently buying at $0.015 gets a good deal!!!
Comment by TheRock07 on May 30, 2014 6:01am
Consolidated shares begin trading on Monday. Current market cap is $9 million on cash flows of about $6 million. 2P reserves worth $115 million. Great management team with tons on international experience and holding significant shares. This will trade at higher value to be more reflective of underlying value. Thats why consolidation is proceeding
Comment by avispa on Jun 02, 2014 9:46am
My Napkin calculation was right! Share price after 25:1 consolidation is $0.50 --- surprised there was no halt announced. Hopefully there is one with a corporate update. Earliest bid is at $0.30.
Comment by 2j3kl on Jun 02, 2014 10:43am
This post has been removed in accordance with Community Policy
Comment by avispa on Jun 02, 2014 11:14am
I bought a small amount to start the process at $0.58 . . . will see where it leads.
Comment by avispa on Jun 02, 2014 6:28pm
POST-CONSOLIDATION --- shares outstanding 23M (572M/25:1) --- CURRENT T ASSETS $37M --- CURR T LIABILITIES $12M (no long-term debt!!!!) --- A-L/SHARES=$25M/23M ==== VALUE $1.1/SHARE!!!! --- DOUBLE CURRENT PRICE ($0.50).
Comment by avispa on Jun 02, 2014 6:31pm
BOOK VALUE / OUTSTANDING SHARES = $25M / 23M = $1.1 / SHARE (and no long-term debt!!!!) . . . This is MORE than double current price ($0.50).
Comment by avispa on Jun 02, 2014 6:41pm
THEROCK07 summarized the asset base quite well at $30M divided by shares outstanding 23M --- ASSET-BASED PRICE IS $1.3 per SHARE --- MORE THAN DOUBLE CURRENT PRICE $0.50 (and no long term-debt)!!!!!!!