So who remembers that article in all those years ago promoting Vical and ISIS as two up and coming biotechs. ISIS is $35 today and look at poor Vical.
Guess we know who won that battle. Too bad I sold my Isis and kept vicl
And before everyone panics about issuing debt or shares lets not forget a whole lot of wells are being drilled in the next 6 months. All of which are free carries to ZAZA. Success will provide a nice bump to the share price and confirm that any financing will be done at much more favorable terms to ZAZA.
All the debt will be doing is fast tracking development that has a high rate of return. My experience says that type of transaction has more often than not been very positive to the share price.
Debt is not bad if the money is used correctly.
I am long and strong.........................
First off the 3rd quarter results do indicate 6.6 million in cash on hand as of Sept 30th. However since that time they have close a further transaction with EOG that brought in 16.5 million net cash as well as delivering producing properties (PDP) with a value of 16.1 million.
Further during the conference call management confirmed that they have filed a shelf registration to raise 150 million dollars thru, debt, shares and other options. See below.
You can be sure they will have some drilling results before they go get the additional funding which YES MAY MEAN DILUTION....... OH NO!!!
"The Company also announced today that it expects to file today a universal shelf registration statement on Form S-3 with the U.S. Securities and Exchange Commission (“SEC”). The registration statement, if and when it becomes effective, is intended to provide the Company flexibility to access the public capital markets in order to respond to business opportunities and restructure the balance sheet at more favorable terms.
While no specific plans to issue securities under the registration statement have been disclosed, ZaZa intends to evaluate all financial instruments that will best position the Company for the future. If and when the registration statement is declared effective by the SEC, the registration will provide ZaZa with the flexibility to offer and sell from time to time, up to $150 million of securities such as senior, subordinated or convertible debt securities, warrants, units, common and preferred stock, or any combination thereof. This press release shall not constitute an offer to sell or a solicitation of an offer to buy the securities registered under the registration statement or any other securities, and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful."
Demont, learn a bit before you spout. Those are 4 well PADS, (3) 4 wells pads per 1280acre section in the Polar and Smokey test units. Now they are going to a 16 well drilling unit
They will get a BIG earnings boost on their hedges this quarter plus a huge bump from mark to market on future hedges. NICE
Every barrel of US produced oil is money that stays home and is ultimately invested back in the USA. if it drops the price per barrel then that is also money that stays home and out of the arabs hands. ALL GOOD