Jerard, Even the dissidents will have to think twice IF the price is rising on good news from the pilot plant. Think about it as a large stockholder. Your company announces good recovery results. Your primary objective for the last 8 years is to come up with good results and hence a rising stock price.
If the rival team has a good solution, and they are NOT going to change course at this point, and they have some success, they will likely increase the momentum in the direction they have chosen. Assuming continued success, all the stock you own continues to increase in value. As the price rises, what is my motivation for selling? To make it more difficult for the company, who is now proving a successful method of recovery, to raise money to keep this moving and keep the price rising?
I wouldn't have much satisfaction knowing I unloaded all my shares at 50 cents, getting a few people nervous for a few days, as it is rising past the $3.00 mark.
I don't know. I would have to think very hard before being that vindictive. It's like the old "cutting off your hose to spite your face" thing. I don't know too many people, no matter what their opinion to date, who will be really upset if this pilot plant is successful and we start seeing shiny stuff coming out the end of that thing.
It would be like running a 28K and suddenly realizing you crossed the finish line and then arguing that the finish line should have been farther down the road.
If there is a chance for them to rile things up, it's before we see results. They tried that with the special meeting and it failed. There is nothing left that I know of that is going to stop the completion of the current work at the pilot plant.
Of course, as always, this is just my opinion.
Please feel free to comment!
Tom F. |
