I confirmed that Cole Capital had conversations with management but not if they were the one who made the $625 million offer. The skybox connection couldn't(wouldn't)disclose a name. I believe Cole is definitely interested because why would they try to ascertain the stand alone value of Kinergy, unless it was to get a true value on the plants and real estate? Pacific Ethanol has never disclosed the separate values and Cole only invests in operating industrial real estate, not commodities brokers. My hunch is the deal is still in the works.
No reaction from the market? If you look at the charts the stock went from $9 to $15 and the institutional investors piled in to the stock in the last two months, with some adding up to 760k shares. The post this morning was not meant to be a leak but was just me passing on some info I got from the skybox connection, for what it's worth.
No hookah smoking caterpillar but there is a big grin floating around! The skybox connection has always been reliable for me.
Offers are not required to go before the common shareholder. Read the bylaws. And you can call whatever you wish. It's a free country.
The skybox connection said Pacific Ethanol management turned down a buyout of $625 million for the four ethanol plants. That's about $24.50 a share. That explains the recent visits to the two analyst firms that are following the company as they are going to try and get better coverage and a higher price. Stay tuned.
Quick and deadly action today for those who set stops. The mm's scooped up a quick 350 thousand shares in about two minutes.
Exxon and Valero are Pacific Ethanol's two largest clients. Boogity Boogity Boogity Rubbin is racing.
Some serious action this morning - wait for it, wait for it
Might be because the Craig-Hallum news was leaked
◾There are cases when a big player interested in a stock, builds his position as a stock moves. There is already interest in a stock aside from his interest, maybe as a result of some news event. Trying to get as much shares as possible at more favorable prices, our player can apply combinations of methods. The player will show big sizes trying to cap the movement and provoke pullback which he will be using to accumulate more shares. The player will have to be very careful to avoid being “steamrolled’ by hot buying. As he maneuvers, his movements sometimes can be read. This is dangerous and fast game, for our player as well as for a trader that tries to utilize his moves. If he is using ECNs to mask his identity, this becomes even more of an art. Used in conjunction with chart reading, these observations can provide additional clues for timely entry and exit.
◾Market makers can also hide their actions by trading through ECNs. Remember, ECNs can be used by anyone, so it is often difficult to tell whether large ECN orders are retail or institutional.
◾Market makers also occasionally try to deceive other traders using their order sizes and timing. These types of orders are called NITBB or NITSO (No Intention to Buy Bid or No Intention to Sell Offer). When using this technique, the market participant displays a huge size greatly exceeding all others seen on Level 2. Most often it’s done in order to provoke traders to move in the opposite direction, as they are trying to undercut this big size or to get in or out “front running” this size.
While it is safe to say that trading on a dark venue will reduce market impact, it is very unlikely to reduce it to zero. In particular the liquidity that crosses when there is a transaction has to come from somewhere—and at least some of it is likely to come from the public market, as automated broker systems intercept market-bound orders and instead cross them with the buyer/seller. This disappearance of the opposite side liquidity as it trades with the buyer/seller and leaves the market will cause impact. In addition, the order will slow down the market movement in the direction favorable to the buyer/seller and speed it up in the unfavourable direction. The market impact of the hidden liquidity is greatest when all of the public liquidity has a chance to cross with the user and least when the user is able to cross with ONLY other hidden liquidity that is also not represented on the market. In other words, the user has a tradeoff: reduce the speed of execution by crossing with only dark liquidity or increase it and increase his market impact.
Broker-dealer-owned dark pools - The following list includes quite a few current players in PEIX trading
JPMorgan Chase Bank - JPMX
Barclays Capital - LX Liquidity Cross
BNP Paribas - BNP Paribas Internal eXchange (BIX)
BNY ConvergEx Group (an affiliate of Bank of New York Mellon)
Cantor Fitzgerald - Aqua Securities
Citi - Citi Match, Citi Cross
Credit Agricole Cheuvreux - BLINK
Credit Suisse - CrossFinder
Deutsche Bank Global Markets - DBA (Europe), SuperX ATS (U.S.)
Fidelity Capital Markets
GETCO - GETMatched
Goldman Sachs SIGMA X
Knight Capital Group - Knight Link, Knight Match
Merrill Lynch - Instinct-X
Morgan Stanley - NightVision
Nomura - Nomura NX
UBS Investment Bank - UBS ATS, UBS MTF, UBS PIN
Societe Generale - ALPHA Y
Daiwa - DRECT
Wells Fargo Securities LLC - WELX
Chucky, you need a better fact checker. The man in the sky box is batting 100% on his green light calls as each time he's given me the green light the stock has risen over 20% in the following three weeks. So stop watching the mm's play with the stock and buy some now. You won't be sorry. Boogity Boogity Boogity.
You'd better believe it. Picked up more at 13.20 and will continue poaching the cheap buys. I guess know one realizes that the crush margin increased again today as ethanol continues to climb and is up another 3.5 cents per gallon. You have to love these days. Boogity Boogity Boogity.
The man in the skybox says the green light is lit once again as the puzzle pieces are in place.
Institutional buyers - check.
International demand - check.
Pricing demand - check.
Positive EIA data - check
Domestic M&A activity - check
Pay close attention to the blending, production and inventory levels tomorrow. Watch for a move in the next week - possibly parabolic. The pit crew called up and said to watch Canada's car #3 and also said to watch India's car #5 as they just modified their protocol.