VIRGINIA HILLS OIL CORP VFGGF

Cardinal Energy acquires PRY

[Fullblast]

https://energynow.ca/cardinal-energy-ltd-announces-light-oil-acquisition/

[bargnhillbilly]

I see all the Pinecrest directors made it on board to the new company. It's so nice they got thrown a life preserver after the fleecing of Pinecrest shareholders. (sarcasm) I don't know that we shareholders can do much about it. The fact that Pinecrest is the company being bought and is down on price is not good. Generally the company being bought rises in price. GLTA

[jcw604]

I think a 100 shares for a single share of virginia hills is really a purchase price of zero, even though I cannot find the number of outstanding shares VH has. However, I believe it is going to be numerous.

[bargnhillbilly]

Right now. The market is saying it's not a good deal for Pinecrest but will it be good for us a year or 2 from now? If the answer to that is no. Then we might as well hit the sell button and buy a couple six packs a beer with the money and end this nightmare.

[Shoulders]

Wow you must of had a boat load of this garbage to still be able to buy a couple of six packs. And no the deal is not good for you now or 2 years from now.  Looks like the newco (Virginia + PRY) will have debt in the high $80mm on a $94mm credit line.  Nothing like starting out with a debt utilization of over 95% on day 1. If you're looking for the next restructuring candidate look

[ofirme]

There are a number of versions of the final number of outstanding shares: 217M shares will be exchanged at 1:100 = 2.17M new shares. 217M shares will be issued warrants at 8:100 @ $0.25 (good for 30 days only) =    0 - 17.36M (depending on who how many are willing to put more money in). this will be    backstopped. private placement of 8M shares X $0.25 = $2M  warrants

[bargnhillbilly]

Yes, The deal got rid of the Pinecrest execs but we still have the same Pinecrest board members. Can they lead us out of debt? and Or is the price of oil going to doom all stocks like this? This may have to play out a bit more for me to think of adding shares. Hopefully the purchasing company will update us more when the deal is finalized. Thanks for your post.