TDYH - Tandem Energy Holdings Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : TDYH - Tandem Energy Holdings

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: rrufff who wrote (7)	1/29/2006 5:42:21 PM
From: Glenn Petersen	Read Replies (1) of 42

The big winners in this deal are the principals of Platinum Energy Resources. Prior to the October IPO, they purchased 3.6 million shares of PGRI for a total of $25,000. Because of the way these blank check deals are structured, their shares only have value after the company has completed an acquisition. If no acquisition is completed with an eighteen-month period and the company is liquidated, the principals do not share in any of the cash proceeds. It took them all of 92 days to find a deal. That’s a record for the blank check companies. Those insider shares have a current paper value of approximately $26 million. That is not a bad return on the $25,000. I do find it curious that the principals of TDHY are willing to take a discounted price. That is very unusual. Why would they leave money on the table? The absence of SEC filings makes Tandem a bit of a black box and it is hard to evaluate this deal. If the 16 million “probable” BOE are real, the total reserves approximate 24.849 million BOE. At $105 million, that works out to a very reasonable $4.22 per BOE. The units of PGRI are trading at $8.20, a slight premium from the offering price of $8.00 per unit. The pattern with most of the blank check companies that have announced deals is that they don’t start to move up until more information is publicly available. It will be interesting to see those Tandem filings.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next