A concern of some is that if we don't take up the offer the share price will drift downwards - here's my moment of clarity on this:
Those that take up the offer would have likely bought in recent times with their average price being in the 3's or 4's and hence they will be happy for the profit gained by selling. BPC will have paid 5.5c for these shares.
The institutions, if in for a quick 8-10% gain will also result in BPC paying 5.5c.
If 90% is not reached shares will be held by those who believe the company is worth much more than the offer price and very unlikely to dump at a price on the market less than the 5.5c they could have recently gained.
The worry might be seen that we are left with BPC as a major shareholder. However, will have paid 5.5c for all of there shares so will not sell for a lesser price as they will be losing money. They will likely want to protect there now investment and see the price go higher. BPC would likely have ensured for remaining shareholders a share price floor of 5.5c and like those remaining will want to see SP rise in order to make profit, and with positive increases in new verified reserves, Linepachan (excuse spelling) to be developed and another exploration well to soon be drilled, the horizon looks good.
I think its the other way round... BPC should be worried and are at the mercy of shareholders not we at their mercy. They may in fact be doing us all a huge favour and may become our best investment friend.
NDO Price at posting:
5.3¢ Sentiment: Hold Disclosure: Held
