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Gold/Mining/Energy : International Precious Metals (IPMCF) -- Ignore unavailable to you. Want to Upgrade?

To: Brander who wrote (29443)	12/21/1997 11:04:00 PM
From: Zeev Hed	Read Replies (2) \| Respond to of 35569

Brad, my point was that unless there are special covenants forbidding trading in equivalent securities, the holders of the s can start shorting the day they have been allocated their shares (yes, shorting with no money down, in essence a sure bet), thus they do not even have to go deep into their pockets to buy the reg s, they can simply short about 10 days after subscription (when they need to deliver cash againxt the shares they have subscribed for), and then use the receipt from the sorting to pay for the shares. They probably use a combination of strategies, including waiting for an encouraging word or two from the company, or a friendly manipulative MM which will allow them to short at higher prices than their entry price. Oncethey do that, they have a neutral position which cannot be "squeezed, since they have the deliverable certificates against their short position, even if the stock run against them. Zeev