This is what Mr.Dell Chapman the company CFO has been disclosing to certain shareholders in total violation of the OSC regulation 51-201 concerning selective disclosure; this is from an email that was forwarded to me:
"I can assure you we are working very hard with advisors and our board to look at a number of strategic alternatives that might close the gap between where we currently trade what we believe to be the value of our assets." ....
"We have stated that we agree that the status quo is not acceptable and have told those like you and others that contact us that we are working on alternative strategies."
So basically the company is telling certain investors that it is undertaking an extensive strategic review; yet it is not disclosing that to the wider public; if you were to sell your shares today; you wouldn't know that the company is pursuing strategic options; yet a select few investors have been told, thus they wont be selling at a loss.
Let's not get our attention diverted from what is important and what we can do about it. Don't forget the only thing we can do is to either vote or sell. Unfortuneatly a lot of people are selling. Have you noticed the daily volume lately. Most heavy on down ticks.
"I know how this business works.Don't believe anything hear and only half of what you see.Manipulating for lower prices is all apart of this business".
I guess you must be living in a dark ugly world, if every person and entity you deal with have some hidden agenda; yes I have an agenda and my agenda is to unlock shareholder value through pressuring management to do the right thing.
In all my articles, I have explained in detail how undervalued this company is on NAV and per flowing barrel basis; if my true intention was to "trash" the company, you would have seen a very different articles and a very different input on this board and others.
I repeat my problem is not with the value of the assets, this company is worth at least $8 a share, my problem is with the strategy pursued to unlock value.
Finally, unlike yourself, I don't post under hidden screen names; I post under my name and write under my name, honourable men don't hide behind screen names especially when accusing others of dishonesty.
Who knows perhaps you are hired by some people to discredit me; after all we know who could have an interest in such an exercise, but don't bother to answer, you are going to ignore.
I totally agree with you but the question is how material is this selective disclosure to the market price decline. Again corporate attorneys will require our side to show quantified evidence. You would need to find some who sold out of despair and without hope and have the market turn around when and if they announce their stategic plan. They could also argue that some of their press releases mention that they continue to work towards improving a number of parameters. Any thoughts on how you can use this assertion to our benifit?
Mc; this disclosure is very material; this is not just some statement that they are working contentiously to find a better strategy; it clearly state that "they are working hard with the board and "outside" advisors to find a strategic alternative", this is a proactive process and they need to disclose it. Anybody who sold since the start of this process, and who will sell now could find them liable for not disclosing this to everyone, I guarantee you lawyers will not pass this up. The only way to remedy the situation is for the company to immediately announce that they are doing a strategic review; at least this will signal to all shareholders that there is a possible positive ending to this tragedy, instead of having them bail possibly weeks or few months prior to a transaction or a major restructuring to unlock value.