Drill Log Petro Dynamics PP

[Abinishio]

Folks,
Petro Dynamics is doing a PP.
It opened 20/10/08 and will close 10/11/08, Price is N5.11 / 50k share
Find attached PP docs for perusal.
Please gurus should review and advise. These are lean & dire times.
N5.11 no be beans.

AB

[Job]

I also need the expert to analyze this offer and tell us their opinion on it before the expiration of the offer!!! N5.11 is not sand please.

[Babs_O]

Originally Posted by Job

I also need the expert to analyze this offer and tell us their opinion on it before the expiration of the offer!!! N5.11 is not sand please.

The gurus are have gone into hiding with respect to PP and PO analysis due to the market meltdown. Some don hide their check book for pocket, while some still dey calculate how they can hammer on the secondary market and no fit waste time for PP.

[muranay@yahoo.com]

Originally Posted by Job

I also need the expert to analyze this offer and tell us their opinion on it before the expiration of the offer!!! N5.11 is not sand please.

I advise you forget about PP for now as secondary market present much better opportunity than whatever any PP can offer you.

Even a mere look at price (N5.11) tells that it is unneccessarily expensive.

[olusolakemmy]

Originally Posted by muranay@yahoo.com

I advise you forget about PP for now as secondary market present much better opportunity than whatever any PP can offer you.

Even a mere look at price (N5.11) tells that it is unneccessarily expensive.

i agree with you, apart from the fact that the secondary market present better opportunity at the moment, your funds get trapped in PP for longer than you may want.

[Job]

I think you guys are very correct. For now I better keep my money and wait for the right time to hit secondary market.

[BLUEMONEY]

Originally Posted by Job

I also need the expert to analyze this offer and tell us their opinion on it before the expiration of the offer!!! N5.11 is not sand please.

Having read the PP Memo, I must say that I like thier Business model and Approach. I am more comfortable with this company than Geo-fluid that did a PP @ N5 months ago probably because we didn't get enough information about the company as the little information we got did not move me.

BUT @ a Placement Price of N5.11, this PP is way too Expensive. The PE @ Placement Price is still Double Digits --- Approximately 32. Whereas at the floor of the NSE where Blood is Spilled on a daily basis, there are stocks with single digit PE that you can buy and wont pass through the stress we experience with PP, but put it at the back of your mind that buying a stock with a single digit PE from the floor of the Exchange does not Gauranty that the Price wont fall futher.

What the Figures from the PP Memo is trying to state here is that this should be a Long Term Investment because looking at the ''Projected earnings'' from 2009 - 2014 you will discover that the PE falls back to single digit and if those ''Projected earnings'' are actually Realized by making good use of the PP Proceeds then Long Term Investors here will definately smile if market condition permits, But we should be careful of Projections from PP Memo because Having bought more PP than I can remember, some of them have not actually met thier Projections though they Tried.

And the Dividend Policy of this Company is not that Encouraging probably because thier Ploughing Back Policy is more important to the Management of the company, But things can still change after the listing on the Exchange as others have done.

So the Choice is clear. For those that are Planning to buy this PP, You will be buying a stock with a Double Digit PE and hoping that the Financial Forecast of the company are met or even Surpassed thus making the stock Attractive and Possibly Rally up when our market Rebounds so that you can Exit with some Profit,

Or You can decide to Buy Stocks with single digit PE, from the floor of the Exchange without waiting for Share Certificate Delivery,Verification & Listing Date. Without Hoping the Financial Forecast are met so that the stocks looks Attractive with a single digit PE. But with the current market condition, the Price of the Cheap stock you bought can still fall futher making it even cheaper.

The Choice is Yours.

I Have still not made up my Mind on this one.

[zainabusman]

Originally Posted by BLUEMONEY

Having read the PP Memo, I must say that I like thier Business model and Approach. I am more comfortable with this company than Geo-fluid that did a PP @ N5 months ago probably because we didn't get enough information about the company as the little information we got did not move me.

BUT @ a Placement Price of N5.11, this PP is way too Expensive. The PE @ Placement Price is still Double Digits --- Approximately 32. Whereas at the floor of the NSE where Blood is Spilled on a daily basis, there are stocks with single digit PE that you can buy and wont pass through the stress we experience with PP, but put it at the back of your mind that buying a stock with a single digit PE from the floor of the Exchange does not Gauranty that the Price wont fall futher.

What the Figures from the PP Memo is trying to state here is that this should be a Long Term Investment because looking at the ''Projected earnings'' from 2009 - 2014 you will discover that the PE falls back to single digit and if those ''Projected earnings'' are actually Realized by making good use of the PP Proceeds then Long Term Investors here will definately smile if market condition permits, But we should be careful of Projections from PP Memo because Having bought more PP than I can remember, some of them have not actually met thier Projections though they Tried.

And the Dividend Policy of this Company is not that Encouraging probably because thier Ploughing Back Policy is more important to the Management of the company, But things can still change after the listing on the Exchange as others have done.

So the Choice is clear. For those that are Planning to buy this PP, You will be buying a stock with a Double Digit PE and hoping that the Financial Forecast of the company are met or even Surpassed thus making the stock Attractive and Possibly Rally up when our market Rebounds so that you can Exit with some Profit,

Or You can decide to Buy Stocks with single digit PE, from the floor of the Exchange without waiting for Share Certificate Delivery,Verification & Listing Date. Without Hoping the Financial Forecast are met so that the stocks looks Attractive with a single digit PE. But with the current market condition, the Price of the Cheap stock you bought can still fall futher making it even cheaper.

The Choice is Yours.

I Have still not made up my Mind on this one.

With some shares on the NSE selling at PE's of 6 or less i cant see myself even looking at any PP. The hassles are just too many to justify the purchase.

[tonidol]

Originally Posted by zainabusman

With some shares on the NSE selling at PE's of 6 or less i cant see myself even looking at any PP. The hassles are just too many to justify the purchase.

Absolutely agree with Zainab. In my opinion, l don't even think we should be discussing PP at the moment except it is N1 at N1 per share which would result to double when eventually listed.

[Job]

Originally Posted by tonidol

Absolutely agree with Zainab. In my opinion, l don't even think we should be discussing PP at the moment except it is N1 at N1 per share which would result to double when eventually listed.

Correct!!!