My concern with BGD is that a lot of trading is done in Germany, far far away from where I image decisions are made. There are no listings for BGDO on Frankfurt; a fact I think may be the reason for the lag in their price. If one were seriously investing for long term why would one buy on Friday at between 20-23c if you could have any amount of options for under 11c. You risk is less than half for the same amount of shares.
This would set some hearts fluttering I guess. I did not read the article as soon as I realised that it referred to a time before the global financial crisis.
Also of concern to me is that if the current financing appears to come from Dubai. Isn't it one of the hardest hit centres by the GFC? I would feel a lot more confident if any serious talk fo finance would revolve around Abu Dhabi.
In the meanwhile I sit on my options hoping that any deals are as hard as the steel they hope to produce.
Wishing everybody good trading for the next week.
W2
BGD Price at posting:
20.0¢ Sentiment: None Disclosure: Held
