Although it may not seem so on the surface, today was a very good day for NWCM.
First, Dreyfus sold another 134,000 shares or more. Consider that their recent 13g filing (a month old) showed 557,000shares, their July 31 position 478,000 shares, and today's selling - brings them down to at most 344,000 shares (not including any selling done between July 31 and yesterday). Although yesterday's close was 9 3/4, only 100 shares traded there - the "real" high of the day was 9 1/4. So when you consider the sheer quantity of selling today, the stock closed just slightly lower than its close Monday.
And consider that if Dreyfus sold 134,000 shares today, somebody bought them. That is even better news than the fact that Dreyfus is about to become a non-entity in NWCM shares. Consider also that in the recent Proxy statement, Mellon Bank (Dreyfus) owned 1,100,000 shares of NWCM on February 28. Is it any wonder the stock is down? But those shares are now (or about to be) distributed among numerous institutional (and probably some retail) customers. We will no longer be subject to this captive-audience selling.
Between the Joseph Charles girations,the Dreyfus selling, and the short sellers, it would hardly have mattered how much good news the Company produced. Now, however, we have six to eight weeks of positive developments in store for the Company, and most of the sellers gone. When are the shorts going to get the message?
Several money managers close to NWCM are saying at least one attractive financing (bridge loan) package is in place for NWCM (that means no convertible securities and reasonable debt terms). Management is supposedly considering ten different presentations, however, and want all of them on the table before making a final decision. They are not considering any new ones now either, which means the process is winding down.
Cossack, what else is there beside rumor? Show me a "fact" and I'll show you an insider on his way to jail - especially if he's dumb enough to post it on the internet for you. |
