I dont have a position eiither way, long or short. This same scenario occured to me last year with a stock, TBET. Luckily I had traded in and out, so all I have been stuck with are free shares that ae worthless.
You were warned.
unlike TBET, inside sales by directors are not happening.
And yet NEWN is down 10% today. Once the price settles, I'll be in and out for some scalps. I just won't be holing my breath for 1.30.
Why did the TBET deal fall through ? The last article I see is a seeking Alpha one talking about it going private. I bought HRBN and the deal went through, interested in this stock but VERY LEARY.
Nothing more was ever heard from anyone from the company. The stock traded lower and lower until the next earnings, that were never stated. The stock was finally halted and reopened on the pinks/grey.
I'm not saying you cant trade in and out and make money here. Just saying be very careful.
I ended up with approximately 1200 free shares that aren't even worth the time and effort of selling.