I would think MS listens to requests from Gary (you) and advise's him on wether or not it could be a deal breaker or not. In this case I'm sure MHR would like to close as soon as possible but delaying a close till Rational is out could significantly help a rebound in MHR PPS which seems to me like it would just be a smart business decision. Of course that will only happen if both party's agree and we have know idea whether it would hurt or benefit the other party. If others on here are right about the sale closing by late September then Rational should easily be out by then even if their only dumping a few hundred thousand shares a day.
Waiting for Rational to finish or at least get close to finishing their liquidation of shares? It would allow the PPS to climb easier with the PR on finalizing the pipeline sale.
If MHR is already making a deal it would seem a little foolish to announce before Rational is done unloading. As long as Rational is unloading they are creating a speed bump on the up side. Perhaps MHR is stalling to allow for a quicker run up? Just a logical possibility.
MHR is getting hammered right now because of oil dumping and Rational dumping shares which will stop any bull run SHORT TERM! Once the pipeline sale is announced and Rational is out the up trend will start. Fact is, MHR is a nat gas company and nat gas is not getting hammered like oil. MHR is making money on it. Once they buy down some of their debt with the pipeline sale they will start putting money in the bank from nat gas!!! Don't be fooled buy the PPS right now.
I don't know if I would count on to big of a squeeze as opposed to covering over time. The ones that shorted above 4 or 5 can probably afford to wait for the first earning report after the sale to decide if it's time to cover. I do think when news on the pipeline sale comes out it will pop to $1.50 and slowly rise from there as long as MHR is showing that they are improving their balance sheets. As much as I hate to say it, the shorts have been winning this battle for quit a while. Having said that, anybody that has been shorting under $1.50 and holding that position overnight is taking a big risk. Any mourning a PR could come out about the pipeline sale and IF the number is in the range Gary claimed they will get then anybody shorting around $1.50 or less will probably be screwed. Another thing that has to happen thought is MHR needs to use a significant amount of the money to buy down their debt. That will keep the PPS trending up after the PR pop. Of course nat gas needs to stabilize and start trending back up as well. One other thing I am hoping will happen is that a PR on the pipeline sale will allow Rational to dump their remaining shares much faster and allow the PPS to move faster. Just my opinion but it seems like a logical possibility.
Will it rise in spite of Relationals selling?
Nice to here some logical thought on here. I am waiting to get in because I do believe the tables will turn for MHR. I've been in and out a couple times... made a little, lost a little, nothing worth bragging about or crying about. I keep waiting for the right time to go long the problem is every time I get ready to pull the trigger she drops some more. My biggest concern now is, will they let MHR drop low enough for long enough to get delisted or will some one give her support to stay above $1? I would love to know if Relational has some limit to how low they will keep dumping shares. Any idea's?
It's a profit Moron and if they are making money now they will be making a lot more later. Cover your as# and take your profit while you can because this POS is going to jump very soon!!!
I agree, the simple fact is that the E&P's can't make money with oil in the 30's and 40's hence they will start disappearing. Once that happens production (supply) will drop. Oil services can only come down so much to accommodate the E&P's dilemma. With the US being such a huge producer, when our production drops dramatically due to the smaller E&P's either closing down or being bought up buy the big boys so they can control US production oil price's will go back up. In fact I think that's exactly what OPEC is banking on. Oil might dip to the low 40's again and maybe even the 30's but it won't stay long. The industry as a whole will drive it back up.
I'm thinking you can't even count to 11 with out taking off a shoe!!! AREX will EASILY make it through the glut so sit down and shut up!!!