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Gold/Mining/Energy : American Eco (ECGOF, ECX on Toronto exchange) -- Ignore unavailable to you. Want to Upgrade?

To: Eric O. who wrote (2370)	4/13/1998 12:50:00 PM
From: JimieA	Read Replies (1) \| Respond to of 2841

According to Dominion Bridge it was ECO"S banks who would not give there approval for Eco to invest in DBCO. DBCO stated in a press release: "DBC wishes to clarify for its shareholders, employees, clients and suppliers that the transaction negotiations were terminated firstly due to AEC's failure to provide any waivers from its Bank syndicate for its US$5 million equity investment in DBC or for its US$25 million loan transaction to DBC..." Since Eco never denied the what DBCO stated I assume that they are true. It is also possible that this has had an effect on Eco's stock price. I think it does have a negative effect when your banks can and do turn you down from making an acquisition. Even if the acquisition may not be that good. A DBCO acquisition had a lot of potential, but also included a lot of risk.